Gold drops on global cues, low demand; silver remains weak

New Delhi: Snapping its two-day gaining streak, gold prices fell by Rs100 to trade at Rs27,100 per ten grams in Delhi bullion market on Saturday, tracking a weak global trend along with easing demand from jewellers.

Traders said besides a weak global trend, fall in demand from jewellers at existing levels, mainly capped the rising trend in the precious metal.

Globally, gold fell by 0.14% to $1,200.30 an ounce and silver by 0.46% to $16.08 an ounce in New York in yesterday’s trade.

Also, an appreciating rupee against the dollar that made the imports cheaper, also influenced the sentiments to some extent, they said. At forex market, the rupee closed at one-month high of 63.55 against the US currency.

In the national capital, gold of 99.9 and 99.5% purity plunged by Rs100 each to Rs27,100 and Rs26,950 per ten gram, respectively. It had gained Rs270 in the previous two sessions. Sovereign also declined by Rs100 to Rs23,300 per piece of eight gram.

Following gold, silver ready declined further Rs25 at Rs37,025 per kg and weekly-based delivery by Rs255 to Rs36,680 per kg. On the other hand, silver coins continued to be asked at previous level of Rs54,000 for buying and Rs55,000 for selling of 100 pieces.