Gold dips below Rs 32,000 as demand falls

Gold prices fell by Rs 240 to 31,780 per 10 grams at the bullion market on Friday owing to decline in demand from local jewellers amid subdued global cues.

Apart from thin demand from local jewellers and retailers at the domestic spot market, a weak trend overseas kept pressure on gold prices, traders say.

Silver, however, regained by Rs 100 to Rs 40,750 per kg on mixed reactions from industrial units and coin makers.

In the national capital, gold of 99.9 per cent and 99.5 per cent purity plunged by Rs 240 each to Rs 31,780 and Rs 31,630 per ten grams, respectively. It had lost Rs 430 in Wednesday's trade.

Sovereign gold, however, remained unaltered at Rs 24,800 per piece of eight grams.

On the other hand, silver ready recovered by Rs 100 to Rs 40,750 per kg and weekly-based delivery by Rs 20 to Rs 39,870 per kg.

Silver coins, however, continued to be traded at previous levels of Rs 75,000 for buying and Rs 76,000 for selling of 100 pieces in limited deals.

In Singapore, gold prices fell 0.16 per cent to $1,288.10 an ounce and silver by 0.09 per cent to $16.34 an ounce.