Gold discount widen in India while demand increased in China
MUMBAI (Scrap Register): Demand for Gold has increased in China as retailers have stocked up Gold ahead of Chinese New Year while price discounts widened in India partly on expectations of a reduction in import duty in next month’s budget.
Demand has actually increased on the physical side, mainly because there has been some pull-back in prices this week.
Gold was being sold at a premium of about $8 an ounce in China, compared with a range of $5-8 last week.
Meanwhile, gold discounts in India widened to the highest level in nearly four months on expectations of an import duty cut and as higher domestic prices dampened retail demand.
Dealers in India were offering a discount of up to $5 an ounce this week against discount of $2 inin last week.