Gold Hits another Record, Demand Plunges


Gold Hits another Record, Demand Plunges

Bangalore: The gold prices in India are souring high at 30,515 per 10 grams, with an overnight gains in the global market on a weak rupee.

"There is hardly any activity in the spot market. Buyers are hoping prices will come down. They are waiting," said a Mumbai-based Dealer with a private bank dealing in bullion, as quoted by Reuters.

After the gold price have increased by 300 percent from the  past 3 years rates on 24 August, people across the nation are selling off their scarp gold to gold merchants in exchange of a handsome return.

The demand for gold which rises during the season of September to December is expected to fall by 40 percent to 200 tonnes on 2012.

After the considerable decrease in the rupee value against dollar over the last 12 months, the import of gold in India have turned more expensive.

According to the Analysts, it shall take some time for the consumers to adjust with the increased gold price. But the sale of gold is expected to remain low in Diwali in comparison to the last year sales record.