Gold advances on stray demand; silver slips

Last Updated: Sat, Feb 23, 2013 12:15 hrs

Gold prices advanced modestly at the domestic bullion market today on stray local buying support.

In contrast, silver dropped owing to subdued demand from speculators and traders.

Standard gold of 99.5 per cent purity gained Rs 15 to end at Rs 29,335 per 10 gm from overnight closing level of Rs 29,320.

Pure gold of 99.9 per cent purity also rose by a similar margin to finish at Rs 29,465 per 10 gm from Rs 29,450 previously.

Silver ready (.999 fineness) shed Rs 110 to conclude at Rs 55,100 per kg from Friday's closing level of Rs 55,210.

On the global front, gold slumped to its lowest level since July last on improving US economic outlook amid ongoing uncertainty over the Central bank's bond buying programme.

Investors remained cautious and mostly on sidelines ahead of the Congressional testimony next Tuesday and Wednesday.

Gold for April delivery fell by USD 5.80 to settle at USD 1,572.80 an ounce on the Comex division of the NYMEX.

Silver for March contract declined to close at USD 28.46 an ounce.

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