India gold,silver to climb on import duty hike

Gold and silver prices in India, world’s largest consumer,would be expensive by Rs 600 and Rs 1500 respectively on import duty hike by the government, according to Rushabh Mehta, analyst with Commodity Online

He said technically gold can be bought on dips near Rs 27580 with stoploss of Rs 27440 for target of above Rs 27800. On other hand, one can also buy Silver near Rs 52600 with stoploss of Rs 52200 for target of Rs 57800, he added.

Indian government on Tuesday doubled customs duty of gold to 2% from previous 1% and Silver to 6% from previous 3% which might create more hardships for physical traders, manufacturers, retailers.

Overall demand concern for both precious metals would be more dearer in upcoming weeks which will impact physcial buying in Indian market.

Gold futures had gap up opening at Rs 27760 and traded around Rs 27750 on positive sentiment as stock markets recovered from losses. Meanwhile, Euro lifted from lows early in the day, while traders digested last week’s Euro zone downgrades from Standard & Poor’s. – BullionStreet

Tags: price of silver, Silver, silver analysis, silver futures, silver futures prices, silver news, silver price, silver prices, silver spot, spot silver

Posted by Silver Guru on Jan 17 2012. Filed under Silver prices. You can follow any responses to this entry through the RSS 2.0. You can leave a response or trackback to this entry