Gold prices remained steady yesterday as even though the Euro slid slightly this was offset by India buying stealthily in preparation for their upcoming wedding season. The price of other precious metals also did well on the market, palladium hit a two year high and platinum was also at its highest price for more than a year and a half.
Spot gold was making $1,133.85 per ounce in the morning and Indian jewelers traded well and they are now firmly the worlds leading gold consumers. Gold jewellery is still the most used gift item for Indian events and this now accounts for at least 20% of the annual global demand for gold. Dealers are now also confident that a strong rupee will help with rising dollar gold prices.
The forecast for the Euro once again looked uncertain as the issue over the Greek debt situation still loomed heavily over the horizon, news broke that Greece wants to change the terms of a EU-IMF deal that was agreed last month. This resulted in the Euro losing ground against the dollar, this would normally have decreased the price of gold but on this occasion many decided to opt out of the currency and invest in gold instead which kept the price inflated.Paul Holdsworth, Staff Writer, Gulf Jobs Market News