Gold traders in India, the world’s biggest bullion buyer, booked deals as they sought to stock ahead of a slew of festivals and weddings after prices fell more than 2 per cent following weak overseas market and a stronger rupee back home.

* “People have jumped to buy gold due to current decline…,” said a dealer with a private importing bank in Mumbai, which sold 300-400 kgs on Wednesday.

* Global spot gold dropped 2 per cent abruptly to as low as $1,826, nearly $100 off the all-time high above $1,920 hit in the previous session, tracking heavy losses on US gold futures on technical selling.

* The Indian rupee strengthened, snapping a two-day losing streak, aided by gains across Asian equities and currencies, while a volatile euro limited the rise.

* The rupee plays an important role in determining the landed cost of the yellow metal, which is quoted in dollars.

* India’s wedding and festival demand will gain pace and peak in October before tapering off in December.  -Reuters