Besides the demand for gold as investment, its demand in India is also likely to play a secondary role in the gold market.
Analysts project that the demand for gold in India, the second largest importer of gold worldwide, might pick up in the near future. Those analysts expect the newly elected Prime Minister of India Narendra Modi might cut down the import tariffs on precious metals.
Despite the weakness in the bullion market in the past several months, the gold bullion market might slowly pick up tomorrow if the nonfarm payroll doesn't meet the current market expectations. And if India's policymakers cut the high import tariffs on bullion, this could also play a modest secondary role in pulling up the price of gold.
For further reading see: Gold and Silver Outlook for June
At the time of publication, the author held no positions in any of the stocks mentioned.
This article represents the opinion of a contributor and not necessarily that of TheStreet or its editorial staff.