India gold futures are expected to expand gains during this week and hit yet another high on account of growing crude oil that heightens the yellow metal's request as an inflation hedge.

The most-active gold for the next month delivery on the Multi Commodity Exchange (MCX) was ruling 0.60% up at Rs 21,224 per 10 grams at 1:01 p. m., after touching a peak of Rs 21,235 earlier in the session.

Madhu Nagraj, technical analyst with Karvy Comtrade stated, "We are bullish on gold on rising crude oil."

Buying could be done at 21,160, targeting Rs 21,350, said Nagraj.

Troops loyal to Muammar Gaddafi set up counter-offensives against rebel-held towns on Sunday, heightening worries that Libya is heading for a civil battle rather than the swift rebellions seen in Tunisia and Egypt, sending U. S. crude to its burliest in over two years.

Renewing gold demand is also likely to assist reaction.

The high-demand wedding season is on the move in India, the world's biggest consumer of gold.

The country's gold imports during Oct-Dec surged 30% to 265 tonnes, and a boost in import duty is expected in the forthcoming budget, the World Gold Council stated on Feb. 17.