Gold Rebounds From Six-Week Low on India Demand Outlook
India’s imports are set to climb for the first time in six quarters as a decline in domestic prices stokes jewelry and investment purchases before major festivals, according to Bachhraj Bamalwa, the chairman of the All India Gems & Jewellery Trade Federation. Prices also gained as a report showed Japan’s exports fell the most since the aftermath of last year’s earthquake, increasing speculation that the nation will enact more stimulus measures.
“Physical demand is providing some support,” Phil Streible, a senior commodity broker at R.J. O’Brien & Associates, said in a telephone interview. “The pressure is clearly on the Bank of Japan (8301) to introduce fresh easing measures.”
Gold futures for December delivery rose 0.1 percent to settle at $1,726.30 an ounce at 1:35 p.m. on the Comex in New York, after reaching $1,714.40, the lowest since Sept. 7.
Prices gained 11 percent in the third quarter after central banks in the U.S., China, Japan and Europe took action to boost their economies. Japanese Economy Minister Seiji Maehara yesterday said the country needs more monetary easing and policy efforts to encourage growth.
Silver futures for December delivery advanced 0.5 percent to $32.252 an ounce in New York. Earlier, the price touched $31.71, the lowest since Sept. 4.
On the New York Mercantile Exchange, platinum futures for January delivery fell 0.2 percent to $1,612.20 an ounce, the third straight decline. Palladium futures for December delivery slipped 0.1 percent to $622.65 an ounce.
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