Gold imports to India towered to its highest rate in 5 months, thanks to increased buying pressure and stable emergence from the COVID-19 pandemic.
Official reports say it to 121 tons in August, up from 63 tons a year earlier. The overall total was $ 6.7 billion, which is significantly higher than the $ 3.7 billion in the previous year. This was probably due to restocking ahead of the holiday season, as well as discounts for physical buyers.
Accordingly, on August 10, local gold futures fell to 125,000 rupees per 10 grams, which is the lowest price in four months.
If prices remain stable, India's gold imports could surpass 80 tonnes in September, up from the 12 tons last year.
Harshad Ajmera, a gold wholesaler in Kolkata, also noted that retail demand in August was very strong.
And, according to a government official, in the first eight months of 2021, gold imports by the world's largest consumers tripled to 687 tonnes compared to 2020.
It seems that the recent pullback and upward momentum are having a huge impact on the physical market. Many people say that physical purchases greatly support the market.