Retail Gold Demand Up Despite High Prices
Source: Reuters (10/16/07)
India's retail gold demand picked up on Tuesday as consumers embraced festive season shopping despite high prices, but wholesale gold demand was negligible on firm international prices.
"Festive buyers are shopping even as the prices are higher as they expect the prices go up further. Besides it's a good investment option," said Rajiv Popley, director, Popley Group.
After the end of an inauspicious Shradh phase last week, India's gold buying is expected to pick up, with Dusshera festival falling this week and Diwali coming up in a few weeks time, retailers said. However, there was little wholesale demand on firm international prices. "The wholesale demand is negligible as gold price is touching new highs everyday," said a dealer with a large private bank.