Budget 2016: India gold futures jump as govt maintains import duty

Mumbai: Gold prices in India, the world's second biggest consumer, jumped 1.4 percent on Monday after Finance Minister Arun Jaitley surprised the market by maintaining the import duty at a record level in the budget.

Representational image. Reuters

Representational image. Reuters

The market was expecting a reduction of up to four percentage points in import duty from 10 percent.

Many consumers had been delaying purchases for over a month hoping for a reduction in the duty, forcing importers to offer a record discount of up to $53 per ounce over global prices to clear inventory.

At 12:55 pm, the most active gold futures were trading 0.97 percent higher at 29,621 rupees per 10 grams, after rising to 29,750 rupees earlier in the day.

Shares of major jewellers such as Gitanjali Gems (GTGM.NS) were down 2 percent, while Titan Company (TITN.NS) fell 5 percent.


Budget at glance table

Updated Date: Feb 29, 2016 15:37 PM

Also Watch

Watch: The true stories from Dharavi that inspired Rajinikanth's Kaala
  • Thursday, March 8, 2018 Watch: Cyrus Khan talks about Parkour, jumping across walls and why he hates sitting
  • Thursday, May 31, 2018 Unwind: India's basketball sensation Amjyot Singh has his eyes set on becoming an NBA regular
  • Monday, May 28, 2018 First Day First Showsha — Review of Solo: A Star Wars Story in 10 questions
  • Saturday, May 19, 2018 Social Media Star: Rajkummar Rao and Bhuvan Bam open up about selfie culture, online trolls

Also See