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By Bloomberg

Gold rose from a one-week low amid signs that demand is rising in China and imports are set to increase in India, boosting the outlook for consumption in the world’s biggest users. Palladium fell for the first time in eight days.

Bullion for immediate delivery added as much as 0.3 percent to $1,207.73 an ounce and traded at $1,207.08 at 11:52 a.m. in Singapore, according to Bloomberg generic pricing. The metal fell to $1,195.50 on Tuesday, the lowest since Feb. 24.

Spot gold in Shanghai has traded at a premium to London prices every day since Feb. 5, Bloomberg calculations show. India’s Finance Minister Arun Jaitley confounded industry expectations for a reduction in import duty in the budget on Feb. 28. Purchases may jump to 100 metric tons in March from about 25 tons in February as jewelers and traders, who delayed buying in anticipation of the tax cut, replenish stockpiles, according to Rajesh Mehta, chairman of Rajesh Exports Ltd.

“With not much happening on the investment side, gold may be more impacted by traditional supply-demand factors,” James Steel, an analyst at HSBC Securities (USA) Inc. in New York, wrote in a note. The premiums in China imply good demand and expectations for Indian purchases are high, he wrote.

Gold for April delivery traded at $1,206.50 an ounce on the Comex in New York from $1,204.40 on Tuesday. Silver for immediate delivery rose 0.4 percent to $16.34 an ounce after retreating to the lowest price in almost two months on Tuesday.

Spot platinum was at $1,186.25 an ounce from $1,185.75. Palladium fell as much as 0.3 percent to $827.63 an ounce and traded at $828.63 after advancing for seven straight days for the longest run of gains since November.