Indian Physical Gold Buyers Waiting For Price Falls

According to a Reuters report webbed by the Economic Times, Indian physical gold demand is still weak as buyers are waiting for the price to come down.

"There are nominal sales, they are waiting for prices to fall below $1,350 (an ounce)," said a dealer with a state-run bullion importing bank....

Dealers said supply constraints, due to excessive snowing in refining areas and lower carry-over stocks, have eased, pressuring premiums on the downside.

"There has been improvement in supplies, and even the premiums have come down to $1.5 (on London prices) from the earlier $3," said the dealer.

Given gold's ratchet-up earlier this morning, those buyers may have to adjust their expectations. The jump may not be enough to establish a rising trend, but it's moving close to doing so.