Gold, silver trend down on lower global cues, easing demand

A global weak trend and a fall in demand from jewellers at prevailing levels pushed gold prices lower by Rs 80 to Rs 29,570 per 10 grams at the bullion market today. Silver continued to slide and fell by Rs 80 to Rs 39,500 per kg on reduced offtake by industrial units and coin makers.

Sentiment remained largely lacklustre, in tune with a sluggish global trend, as investors weighed prospects of a US interest rate rise, which strengthened outlook for the dollar and dented the metal’s appeal. Besides, a slowdown in buying activity by jewellers due to fall in demand at current levels hurt. Globally, gold retreated 0.45 per cent to USD 1,242.60 an ounce and silver by 0.67 per cent to USD 16.24 an ounce in Singapore.

In the national capital, gold of 99.9 per cent and 99.5 per cent purity traded Rs 80 each lower at Rs 29,570 and Rs 29,420 per 10 grams, respectively. Sovereign, however, held steady at Rs 23,100 per piece of 8 grams.

In a similar fashion, silver ready dropped by Rs 80 to Rs 39,500 per kg, but weekly-based delivery went up by Rs 60 to Rs 39,465 per kg on speculative activity. Silver coin prices for 100 pieces remained unchanged at Rs 67,000 for buying and Rs 68,000 for selling.