New Delhi: After falling sharply in previous two days, gold prices found some support at lower levels. Gold rates today edged higher by 60 to 32,060 per 10 gram but silver prices slipped. Some buying at lower levels by jewellers and higher global prices lifted domestic gold prices today. Silver rates however fell by 85 to 38,315 per kg due to reduced offtake by industrial units and coin makers. In Delhi, prices of gold of 99.9% and 99.5% purities inched higher by 60 to 32,060 and 31,910 per 10 gram, respectively. Gold prices had declined by around 350 in previous two sessions.

Sovereign gold prices continued to be traded at previous level of 25,000 per piece of eight gram. On the other hand, silver ready fell by 85 to 38,315 per kg and weekly-based delivery by 49 to 37,881 per kg. Silver coins, however, remained unaltered at 74,000 for buying and 75,000 for selling of 100 pieces.

Gold price in India is broadly determined by global rates, import duty and the rupee-dollar exchange rate as almost all of it is imported. Demand for gold last year fell by about 23% from a peak of 1,002 tons in 2010. But benchmark gold futures in Mumbai are set to post a third year of annual gains as domestic prices have moved higher, boosted by a weaker rupee, which fell to a record low earlier this year.

In global markets, gold prices inched higher today, hitting a one-week high. Sentiment was boosted on speculation that signs of economic turbulence may prompt US Federal Reserve to soon put brakes soon on its monetary tightening cycle. The Fed is widely expected to raise interest rates tomorrow but bullion traders would be focusing more on its outlook for 2019. Lower interest rates reduce the opportunity cost of holding non-yielding bullion and weigh on the dollar. Spot gold was steady at $1,245.56 per ounce. Spot gold may remain in a range of $1,253-$1,258 per ounce, said Reuters analyst Wang Tao.

With Agency Inputs