High gold prices keep demand in check, jewellers stock up for festival

An uptick in prices kept a lid on demand for gold in most regions across Asia this week, while in India, an upcoming festival saw jewellers stocking up on the metal.The spot gold international benchmark is set for a second week of gains, with prices supported by uncertainty surrounding US President Donald Trump's economic policy and concerns over the outcome of elections in Europe. "Demand has been sluggish this week, especially with (international) gold prices in the $1,240 to $1,250 range," said Ronald Leung, chief dealer at Lee Cheong Gold Dealers in Hong Kong. In top consumer China, premiums fell to about $10 to $12 an ounce against the international benchmark from levels over $20 last week.Traders attributed the drop in premiums to a rise in prices. Premiums in China had risen last week as traders said supply of the precious metal was limited due to tightening import restrictions to stem currency outflows. Astrology and Numerology Trading Tips

Premiums were quoted in a 70 cents to $1.20 range in Hong Kong, from the 70 cents to $1.10 an ounce level seen last week. In Singapore, premiums were seen slightly lower, within the 80 to 90 cents range, against $1.20 an ounce in the week before. In Japan, traders saw the precious metal at a discount of 50 cents to a dollar, unchanged from last week, attributing it to the lack of any significant move in local prices. Gold demand in India, the world's second-largest consumer of the metal, improved this week despite a price rise as jewellers stocked up for a festival next week. "Due to Gudi Padwa festival, sentiments have improved. Festival demand has been trickling in," said Daman Prakash Rathod, a director at MNC Bullion, a wholesaler in Chennai In the local market, gold futures were trading around Rs 28,700 per 10 grams on Friday, up 1 percent from a week ago. "There is pent up demand and the money squeeze due to demonetisation has come to an end," said Ishu Datwani, owner of Mumbai-based Anmol Jewellers. Financial Astrology Tips