Gold prices extend losses, fall Rs120 on global cues
New Delhi: Gold prices fell for the second day on Monday, plunging another Rs120 to Rs28,780 per 10 grams at the bullion market, in line with a weak movement overseas and easing demand from local jewellers.
Silver followed suit and slumped below the Rs37,000 mark by tumbling Rs900 to Rs36,500 per kg on poor offtake by industrial units and coin makers.
Traders said that a relatively solid US jobs data indicates a higher US interest rate this year, that could affect the demand for the precious metal as a safe haven investment, mainly dampened sentiment.
Globally, gold prices fell 0.40% to $1,207.40 an ounce and silver by 1.93% to $15.27 an ounce in Singapore. In addition, poor demand from local jewellers and retailers at domestic spot market also weighed on gold prices.
In the national capital, gold of 99.9% and 99.5% purity drifted lower by Rs120 each at Rs28,780 and Rs28,630 per 10 grams, respectively.
The precious metal had lost Rs250 in Saturday’s trade. Sovereign also traded lower by Rs100 to Rs24,300 per piece of eight grams.
Tracking gold, silver ready dropped by Rs900 to Rs36,500 per kg and weekly-based delivery slipped below the Rs36,000-mark by falling Rs645 to Rs 35,585 per kg. Silver coins too plummeted by Rs2,000 to Rs69,000 for buying and Rs70,000 for selling of 100 pieces.