Friday, March 11, 2011

Indian Physical Gold Buying Slows After Brief Blip-Up

Yesterday's plummet didn't get Indian traders ponying up after all. Despite the drop, physicial gold buying didn't budge all that much.
"There were a few deals yesterday evening at $1,405-1,414 (an ounce), but today they are waiting for prices to settle down, I have orders below $1,405," said dealer with a state-run bank in Mumbai.

That's what plummets tend to do: encourage dropping the bids in the hope the drop will continue. That's what happening in the Indian physical gold market.

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