Gold prices extends gains on global cues
Mumbai: Rising for the second day, gold prices climbed Rs100 per 10 grams at the bullion market in Mumbai Tuesday riding on firming global trend and increased buying by local jewellers and retailers.
Silver also strengthened by Rs285 per kg backed by increased offtake by industrial units. Bullion traders attributed the rise to a firming trend overseas where gold rose to the highest in more than a week as an uptick in geopolitical uncertainty raised demand for the precious metal as safe haven.
Persistent buying by local jewellers to meet the ongoing seasonal demand too supported the upside, they added. Standard gold (99.5 purity) climbed by Rs100 to end at Rs29,760 per 10 grams as compared to Monday’s closing level of Rs29,660.
Pure gold (99.9 purity) also rose by a similar margin to finish at Rs29,910 per 10 grams as against Rs29,810 earlier. Silver (.999 fineness) firmed up by Rs285 to conclude at Rs39,805 per kg from Rs39,520 previously.
Globally, gold touched its highest in nearly two weeks supported by a softer dollar and geopolitical tensions in Spain and North Korea, though gains were capped by expectations of another US interest rate increase. Spot gold was up 0.4% at $1,291.53 an ounce at early trade. In other precious metals, silver rose 1.1% to $17.13 an ounce, having touched a two-week high of $17.16.