Gold falls on sluggish demand, global cues

Last Updated: Thu, Jan 23, 2014 10:36 hrs

Gold fell by Rs 30 to Rs 30,170 per ten grams in the national capital on Thursday due to slackened demand at prevailing higher levels amid a weak global trend.

However, silver held steady at Rs 44,500 per kg on lack of buying support from industrial units and coin makers.

A similar trend was witnessed in Mumbai as gold declined on fresh selling while silver held steady in limited deals.

Gold of 99.9 and 99.5 per cent purity traded lower by Rs 105 each to Rs 29,925 and Rs 29,775 per ten grams but silver remained unchanged at Rs 45,250 per kg.

Traders said besides sluggish demand at prevailing higher levels, weak global trend where gold dropped to a two-week low, mainly led to the fall in gold prices.

Gold in Singapore, which normally sets price trend at the domestic front, fell by 0.4 per cent to USD 1,231.85 an ounce, the lowest level since January 10.

At the domestic front, gold of 99.9 and 99.5 per cent purity fell by Rs 30 each to Rs 30,170 and Rs 29,970 per ten grams, respectively, while sovereign remained steady at Rs 25,100 per piece of eight grams.

On the other hand, silver ready held steady at Rs 44,500 per kg while weekly-based delivery declined by Rs 120 to Rs 44,250 per kg on lack of buying support by speculators.

Silver coins remained flat at Rs 86,000 for buying and Rs 87,000 for selling of 100 pieces.

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