Latest news with #PeterFung
Arab Times
19-07-2025
- Business
- Arab Times
Gold discounts widen in India as high prices weaken demand
NEW DELHI, India, July 19: Gold demand in India remained subdued this week as prices hovered near record highs, causing buyers to hold back and dealers to increase discounts to attract customers. Elevated prices also dampened activity in other major Asian markets. Indian dealers were offering discounts of up to $10 an ounce below official domestic prices — which include a 6% import duty and 3% sales tax — an increase from last week's maximum discount of $8. 'Jewellery stores across the country are seeing fewer customers. People are reluctant to buy now, hoping prices will drop,' said a jeweller based in Kolkata. Domestic gold prices traded around 97,500 rupees per 10 grams on Friday, down from an all-time high of 101,078 rupees reached last month. Although discounts might have increased more sharply due to weak demand, supplies remain limited because imports have sharply declined, explained a bullion dealer from a private bank in Mumbai. India's gold imports in June dropped 40% year-on-year to 21 tons, marking the lowest monthly figure in over two years amid sluggish demand. In China, the world's largest gold consumer, dealers quoted discounts ranging from $5 below to $10 above spot rates, down from last week's premiums of $10 to $25. 'In China, physical buying interest is low currently because of the summer holiday. Demand may pick up from October,' said Peter Fung, head of dealing at Wing Fung Precious Metals. In Hong Kong, gold sold at $1 to $2 premiums, while in Singapore, prices ranged from parity with the global benchmark to a premium of up to $2.20. In Japan, bullion traded between a $0.50 discount and a $1 premium.
Reuters
18-07-2025
- Business
- Reuters
ASIA GOLD Discounts widen in India as elevated prices dull activity
July 18 (Reuters) - Gold demand in India remained subdued this week, as near record-high prices kept buyers at bay and prompted dealers to widen discounts to lure them, while elevated rates curtailed activity across other major Asian hubs as well. Indian dealers were offering a discount up to $10 an ounce over official domestic prices - inclusive of 6% import and 3% sales levies - up from the last week's discount of up to $8. "Jewellery stores all over the country are seeing fewer customers. People aren't ready to buy just yet... They're holding off, hoping prices will come down," said a Kolkata-based jeweller. Domestic gold prices were trading around 97,500 rupees per 10 grams on Friday after hitting an all-time peak of 101,078 rupees last month. Gold discounts could have risen sharply due to weak demand, but supplies are limited because of a sharp fall in imports, said a Mumbai-based bullion dealer with a private bank. India's gold imports in June fell 40% from a year ago to 21 tons, their lowest level in more than two years, amid sluggish demand. In China, the world's top gold consumer, dealers quoted discounts of $5 per ounce to $10 premium on spot rates , down from the premiums of $10-$25 charged last week. "In China, I don't see too much physical buying interest at this moment due to the summer holiday. Maybe from October, you can expect the demand to pick up," said Peter Fung, head of dealing at Wing Fung Precious Metals. In Hong Kong, gold was sold at $1-$2 premiums, while dealers in Singapore sold gold at par with the global benchmark to a premium of up to $2.20. In Japan, bullion traded between a $0.50 discount and a $1 premium.
Business Recorder
27-06-2025
- Business
- Business Recorder
Asia gold: India demand muted despite price correction; buying picks up in China, Singapore
Demand for physical gold in India remained subdued this week despite a correction in prices, as buyers held out for a bigger drop, while demand improved in China and Singapore. This week, Indian dealers were offering a discount of up to $18 an ounce over official domestic prices, inclusive of 6% import and 3% sales levies, down from last week's discount of up to $27. 'Retail buyers are still on the sidelines despite the correction in prices. This is traditionally a lean demand season and buyers are waiting for a bigger drop in prices,' said a Kolkata-based jeweller. Domestic gold prices were trading around 96,100 rupees per 10 grams on Friday after hitting an all-time high of 101,078 rupees earlier this month. Jewellers weren't buying much new gold from banks because retail buyers were trading in their old jewellery for new ones, which met a good part of the demand, said a Mumbai-based bullion dealer with a private bank. Spot gold was trading around $3,294.19 as of 0425 GMT, down from levels near $3,450 last week. Gold heads for second weekly loss, investors eye US inflation data Dealers in top gold consumer China charged premiums of $12-$14 an ounce over the global benchmark spot price, higher than last week's $10 premium. 'People are still interested in buying some gold as a safe haven,' Peter Fung, head of dealing at Wing Fung Precious Metals said, adding that a dip below $3,300 could attract more interest as investors seem ready to buy on any weakness. In Hong Kong, gold was sold at par to a $2.00 premium, while in Singapore, gold traded between at-par price and a $2.20 premium. 'We've seen a bit more retail buying… wholesalers are also short-covering because the prices came down quite a bit from last week,' said Brian Lan, managing director at GoldSilver Central. In Japan, bullion was sold flat to a $0.5 premium.
