Gold discounts widen in India

Demand for gold in Asia was muted this week as the bullion's rebound in prices curbed purchases, with discounts in India widening to the highest in more than five months.

Spot gold hit a seven-month peak earlier this week, primarily boosted by safe-haven demand stemming from political uncertainties in the United States and Europe.

"Gold markets in Asia have been quiet... The rise in price did encourage destocking in some markets, but purchases have been slow," said Cameron Alexander, an analyst with Thomson Reuters-owned metals consultancy GFMS.