Gold prices down while markets trade in positive territory

MUMBAI: Gold for February delivery traded four-fifths of a per cent down at Rs 26,952 per 10 gm on MCX in early noon trades on January 8 while the stock markets posted some gains.

Retail demand for gold has picked up recently but most of the supply is being met through recycled metal, said Ketan Shroff, spokesman of industry body Indian Bullion & Jewellers Association.

“Many consumers are exchanging their old jewellery for new jewellery,” said Shroff, adding that jewellers and bullion dealers have resorted to hedging to avoid inventory losses since gold prices fell to as low as Rs 25,000 per 10 gm in recent months.