Commodity Update

China approves Microsoft-Nokia deal

China approves Microsoft-Nokia deal

Microsoft moved a step closer towards officially acquiring Nokia's devices and services business as China's Ministry of Commerce has also approved the deal.

The Chinese Commerce Ministry said in statement that it approved the deal after making an analysis of the vertical relationship between handset maker Nokia's smartphone business and Redmond-based Microsoft's patents for smart terminal OS and mobile smart terminals. In addition, the ministry studied the potential impact of the Microsoft-Nokia deal on any abuse of patents and the Chinese smartphone market.

Gold hits its highest level in two months

Gold hits its highest level in two months

Gold hit its two-month high level of more than $1,272 per ounce on Friday as the US dollar slipped and global stock markets were heading for their worst week so far this year.

The U. S. dollar suffered its biggest one-day fall in around three months, which allowed gold to post a considerable jump. At 1225 GMT, spot gold jumped 0.6 per cent to $1,271.41 per ounce, reversing from a drop earlier in the day.

Gold demand likely to fall this festival season

Gold demand likely to fall this festival season

Demand for gold in India is expected to take a deep plunge in the festival season this year, thanks to the Congress-led UPA Government’s various measures to curb consumers’ lust for the precious yellow metal.

As per the All India Gems & Jewellery Trade Federation’s estimates, sales of gold coins and bars may fall to as little as 25 per cent of sales a year earlier.

Gold prices breach Rs 30,000 mark

Gold prices breach Rs 30,000 mark

Gold prices in India once again breached the psychological mark of Rs 30,000 on Friday as rupee continued depreciating against the US dollar.

Average price of gold jumped to Rs 30,695 per 10 grams on Friday. A day earlier, the average gold price breached the $1,350-mark amid an environment of uncertainty on when the US Federal Reserve would start rolling back its bullion-friendly bond buying program.

Steep rise in gold imports pushes India’s trade deficit to 7-month high

Steep rise in gold imports pushes India’s trade deficit to 7-month high

India’s trade deficit jumped to a 7-month high of more than $20 billion in May as gold and silver imports surged nearly 90 per cent year-on-year in the month, provisional data revealed on Monday.

The steep rise in gold and silver imports pushed the country’s trade deficit to $20.14 billion in May, from $17.8 billion in April. The annual rate of gold imports increase in May was however slower than the 138 per cent rise in April.

India hikes gold import duty by 2% as demand surges

India hikes gold import duty by 2% as demand surges

In a desperate bid to curb soaring demand for gold, the Indian government on Wednesday announced a hike in import duty on the precious yellow metal for the second time in six months.

The union finance ministry announced that it had increased gold import duty from 6 per cent to 8 per cent.

Indian policymakers are concerned over the country’s widening current account deficit (CAD), and trying to employ all measure to shrink CAD.

India's CAD reached a record high of 6.7 per cent of its gross domestic product in the October-December quarter.

India’s gold demand may hit all-time high this quarter: WGC

India’s gold demand may hit all-time high this quarter: WGC

India’s demand for gold may likely hit a quarterly record high in the April-June quarter after prices of the precious metal dropped to a two-year low in the month of April, the World Gold Council (WGC) said.

London-based WGC said that India’s will import 300 to 400 metric tones of gold during the second quarter of this year. The estimated figure is equal to almost 50 per cent of the country’s total gold imports in FY2012-13.

Buyers have been flocking jewellery shops as gold prices have slipped 13 per cent so far this year.

India’s demand for gold jumps 27% in Q1 of 2013

India’s demand for gold jumps 27% in Q1 of 2013

While the global demand for gold declined 13 per cent in Q1 of this year, India’s demand for the precious yellow metal jumped 27 per cent year-on-year, according to latest figures released by the World Gold Council (WGC).

Indians’ demand for jewellery jumped 15 per cent year-on-year to 159.5 tonnes in the first quarter of 2013, while investment demand climbed a whooping 52 per cent to 97 tonnes.

China reported gold demand growth at 27 per cent. Therefore, India’s demand growth for the yellow metal surpassed China's demand growth by 7 per cent.

Gold demand to go up in 2013

Gold demand to go up in 2013

The demand for gold has been sluggish for the last two-three weeks, but analysts believe that it will escalate in the coming year as prices of the yellow metal will become largely stable.

Analysts are of the view that better economic growth prospect and potential rate cuts by the Reserve Bank of India (RBI) would make prices of the yellow metal will likely to settle in the range of Rs 29,000 to Rs 32,000 per 10 grams in the 2013.

O2 to conduct one-day remote working trial

O2 to conduct one-day remote working trial

Mobile phone operator O2 will carry out a one-day remote working trial on Wednesday to see how it could avoid any possible disruption during upcoming London Olympic Games.

Under the trial, a total of 2,500 employees at the network provider’s Slough, Berkshire-based headquarters will work from home, cafes and O2 stores.

Ben Dowd, business director at O2, said the Olympic Games would bring operating, travel as well as business challenges.

He added that the trial would help O2 and others companies in planning for contingency plans to meet the potential challenges.