* The most-active gold for October delivery on the Multi Commodity Exchange (MCX) was 1.5 percent higher at 27,591 rupees per 10 grams at 1:10 p.m., recovering from the previous session’s low of 26,853 rupees, a level last seen on Aug. 30.

* Overseas gold prices bounced back more than 1 percent on Thursday, boosted by bargain-hunters after the previous session’s fall of 3 percent, ahead of a speech by U.S. President Barack Obama that could allay recession fears.

* Obama will lay out a jobs package worth more than $300 billion later on Thursday, after data showed the world’s top economy added no new jobs in August.

* The Indian rupee fell to a near one-year low dragged by dollar demand from domestic oil companies and weak Asian currencies, with choppy equities also weighing.

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

* Gold buyers in India, the world’s biggest buyer of bullion, retreated as prices edged higher from its one week trough.

* “Activity was there yesterday but not in a big way, there is nothing today so far. Even the rupee trend is worrying,” said Pinakin Vyas, assistant vice-president with IndusInd Bank.

* India’s wedding and festival demand is expected to gain pace and peak in October and November before tapering off in December.

At 10:15 a.m., following were the prices in rupees being quoted by HDFC Bank in the spot market :

Gold .999/10 grams 27,715 27,800 Silver .999/kg 65,490 64,915

At 1:10 p.m., following were prices (in rupees) on the Multi Commodity Exchange of India Ltd. <0#MAU:>:

Contract Current price Net change = Oct gold 27,600 +418 Sept silver 64,726 +360  - Source: Reuters