Indian gold edged lower on Wednesday afternoon with physical traders watching the progress of monsoon rains, vital to gold demand in rural areas, though a weaker rupee kept the downside limited.
* The most active gold for August delivery on the Multi Commodity Exchange (MCX) was 0.15 percent lower at 29,244 rupees per 10 grams.
* Global gold edged lower, extending losses from the previous session when U.S. Federal Reserve Chairman Ben Bernanke disappointed gold bugs by offering no signs of imminent monetary stimulus measures.
* The rupee, which traded weaker on Wednesday, plays an important role in determining the landed cost of the dollar-quoted yellow metal.
* Rural areas, which depend on monsoon and agriculture, contribute to about 60 percent of India's gold demand.
* "Nothing is happening... we might have good physical offtake after the monsoon," said Ketan Shroff, director with Pushpak Bullion, a wholesaler in Mumbai.
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* Festivals will start from early next month and continue till November.
* Silver also fell in tandem with the yellow metal.
* Silver for September delivery was 0.28 percent lower at 52,743 rupees per kg.