Gold prices drop Rs500 on global cues, muted demand
New Delhi: Gold prices recorded a steep fall of Rs500 to close at Rs30,350 per 10 grams at the bullion market on Wednesday, tracking a weak trend overseas amid tepid demand from local jewellers. However, silver recovered by Rs200 to Rs41,850 per kg on scattered enquiries from industrial units and coin makers.
Traders said faded concerns over North Korea and US hurricanes boosted demand for riskier assets and lifted global stocks to record highs, while keeping pressure on the precious metal prices. Besides, the traders also attributed the fall in price to fading demand from local jewellers as well as retailers.
Globally, gold price fell 0.03% to $1,331 an ounce in Singapore on Wednesday. In the national capital, gold of 99.9% and 99.5% purity tumbled by Rs500 each to Rs30,350 and Rs30,200 per ten grams, respectively. It had lost Rs150 on Tuesday. Sovereign, however, remained unaltered at Rs24,700 per piece of eight grams.
On the other hand, silver ready rebounded by Rs200 to Rs41,850 per kg and weekly-based delivery by Rs270 to Rs41,300 per kg. Silver coins, however, continued to be traded at previous level of Rs74,000 for buying and Rs75,000 for selling of 100 pieces in scattered deals.