Real action will be seen from next week Tokyo dealer
Hong Kong, Singapore see quiet week for demand
Many traders moving towards silver Mumbaibased dealer

Aug 19 Reuters Gold demand in India improved this week as a drop in domestic prices to a more than twoweek low allowed dealers to reduce discounts, while volumes were sombre in other Asian centres.

Local gold prices in India fell to 51,436 rupees per 10 grams on Friday, the lowest since Aug. 3.

Retail demand was good this week. Jewellers were also making purchases because of the price correction, said Harshad Ajmera, the proprietor of JJ Gold House, a wholesaler in the eastern Indian city of Kolkata.

Dealers offered a discount of up to 4 an ounce over official domestic prices this week inclusive of the 15 import and 3 sales levies, down from last week39;s discount of 14.

Investment demand for gold was weak as many traders are moving towards silver, said a Mumbaibased dealer with a private bank. 

Persistently lower gold and silver prices, as the U.S. dollar remained strong, have been a positive driver of global physical and retail bullion demand this week, said Nicky Shiels, Head of Metals Strategy at MKS PAMP.

Chinese premiums were almost unchanged at 58 an ounce over international spot prices .

So long as the nearterm 1,7501,800 range holds… physical demand should remain decent, Shiels said. 

Hong Kong saw gold sold between flat to 2 premiums, unchanged from last week, with one dealer describing…