Uncle
08-26-2003, 07:23 AM
Blasts stall gold trade in Bombay for second day
Tue August 26, 2003 05:41 AM ET
BOMBAY, Aug 26 (Reuters) - Gold imports into India's main bullion market in Bombay ground to halt on Tuesday, a day after car bombs killed 48 people and damaged shops in the congested gold trading area.
"Traders are still in a state of shock," said Harmesh Arora, vice president of the Bombay Bullion Association.
India, the world's biggest buyer, imports 1.6 tonnes of gold every day or about 70 percent of its needs, with Bombay accounting for one-third of the purchase.
About 150 people were also wounded in the blasts and most of the casualties were from the busy bullion market.
"It will take a few days for trading to normalise," said Arora, whose office is just 200 metres (656 ft) away from the site of one of the blasts.
Many shops in the area had their large glass panes shattered by the explosion.
"The market is almost closed today as the main road has been blocked and entry of vehicles is not allowed," said Prithvi Raj Kothari, a bullion dealer.
He said Deputy Prime Minister Lal Krishna Advani, who is expected in the city to see the wounded, was likely to visit the bullion market.
Trading in other centres such as Delhi, western Indian city of Ahmedabad and southern Madras was normal.
Gold was marginally down at 5,500 rupees ($120) per 10 grams in Ahmedabad from the previous close of 5,540 rupees.
Prices in India are largely guided by world prices because of the country's high imports, and the value of rupee against the dollar. Other factors play a nominal role in pricing.
Bullion dealer Ranjit Rathod in Madras said imports into the southern city was expected at about 100 kg a day this week compared with a daily average of 175 kg.
Tue August 26, 2003 05:41 AM ET
BOMBAY, Aug 26 (Reuters) - Gold imports into India's main bullion market in Bombay ground to halt on Tuesday, a day after car bombs killed 48 people and damaged shops in the congested gold trading area.
"Traders are still in a state of shock," said Harmesh Arora, vice president of the Bombay Bullion Association.
India, the world's biggest buyer, imports 1.6 tonnes of gold every day or about 70 percent of its needs, with Bombay accounting for one-third of the purchase.
About 150 people were also wounded in the blasts and most of the casualties were from the busy bullion market.
"It will take a few days for trading to normalise," said Arora, whose office is just 200 metres (656 ft) away from the site of one of the blasts.
Many shops in the area had their large glass panes shattered by the explosion.
"The market is almost closed today as the main road has been blocked and entry of vehicles is not allowed," said Prithvi Raj Kothari, a bullion dealer.
He said Deputy Prime Minister Lal Krishna Advani, who is expected in the city to see the wounded, was likely to visit the bullion market.
Trading in other centres such as Delhi, western Indian city of Ahmedabad and southern Madras was normal.
Gold was marginally down at 5,500 rupees ($120) per 10 grams in Ahmedabad from the previous close of 5,540 rupees.
Prices in India are largely guided by world prices because of the country's high imports, and the value of rupee against the dollar. Other factors play a nominal role in pricing.
Bullion dealer Ranjit Rathod in Madras said imports into the southern city was expected at about 100 kg a day this week compared with a daily average of 175 kg.