India’s central bank head Raghuram Rajan was out a little earlier with comments after leaving interest rates on hold yesterday. He said that the RBI would slowly remove curbs on gold imports and that they have plenty of reserves to counter FX volatility.
The removal of curbs will go someway to underpinning gold prices and they are looking to steady today around the 1277 level after the breakdown through 1287.
Gold daily chart 02 04 2014
The rupee is still getting itself back toward the levels it saw before the US will they/won’t they taper shenanigans tore USD/INR up into the 60’s and India has been rebuilding its reserves to cope with any further volatility.
USD/INR daily chart 02 04 2014
