Gold imports to India are close to a two year high

Mumbai-India (Apr 12)  It has been reported that during the month of March gold imports to India reached their highest levels in nearly two years. At the moment it is the wedding season in the nation and also there has been a retracement in the spot gold price so this could also be acting as an incentive for buyers. The wedding season also coincides with Akshaya Tritiya next month, the second-most auspicious day to buy gold in the Hindu calendar.

In regards to the numbers, the imports rose to 98.6 tons last month from around 13 tons a year earlier, according to a person familiar with the data, that would be the highest level since May 2019. 

It has also been said that imports during the first 3 months of the year have more than doubled in the world’s second-biggest consumer to almost 190 tons, according to Bloomberg.

Having a look at the recent price action in the yellow metal, there has been a bounce off the low see on 8th March 2021 of around $1676.91/oz. Today although the price has fallen 0.08% the commodity trades at $1742.27/oz just over $65 from the yearly lows. Despite the rise, the price is still pretty far under the 200 simple moving average which can often be a measure of strength. The next major resistance is holding at $1764.79/oz which is the 30th November 2020 low and if the bulls can manage to break that zone there could be more positivity on the horizon.

KitcoNews