Gold, silver prices increase at bullion market on Diwali demand

Gold price increased by Rs 160 to Rs 30,750 per 10 grams on the eve of Diwali at the bullion market on increased buying by jewellers to meet festive demand along with a firm global trend on Saturday.

Silver recaptured the Rs 43,000-mark per kg by gaining Rs 300 on increased offtake by coin makers and industrial units.

Bullion merchants said increased buying by jewellers to meet Diwali demand at domestic spot market, mainly led to rise in the precious metals prices.

Besides, a firm trend overseas where gold rallied to a three-week high influenced the sentiment here.

Globally, gold rose by 0.52 per cent to USD 1,274.70 an ounce and silver by 0.77 per cent to USD 17.73 an ounce in New York in Friday's trade.

In the national capital, gold of 99.9 and 99.5 per cent purity surged by Rs 160 each to Rs 30,750 and Rs 30,600 per 10 grams respectively. It had lost Rs 125 in last two days.

Sovereign, however, remained steady at Rs 24,500 per piece of eight grams.

Tracking gold, silver ready shot up by Rs 300 to Rs 43,000 per kg and weekly-based delivery by Rs 370 to Rs 42,540 per kg.

Silver coins continued to be traded at previous level of Rs 74,000 for buying and Rs 75,000 for selling of 100 pieces.