Gold slides on global cues, muted demand

Representational Image (Photo: Getty Images)


Gold fell by Rs 75 to Rs 30,700 per ten gram at the bullion market on Monday, tracking a weak trend overseas amid easing demand from local jewellers.

Silver followed suit and lost Rs 350 to Rs 40,800 per kg on reduced offtake by industrial units and coin makers.

Traders said a weak trend overseas as the US dollar grew in strength, investors waited for more insight on US tax cut plans and the related Fed policy, mainly dampened the sentiment.

Globally, gold fell 0.27 per cent to USD 1,289.90 an ounce and silver by 0.93 per cent to USD 17.11 in Singapore on Monday.

Besides, fall in demand from local jewellers and retailers at existing levels too weighed on prices, they said.

In the national capital, gold of 99.9 per cent and 99.5 per cent purity drifted lower by Rs 75 each to Rs 30,700 and Rs 30,550 per ten gram, respectively. The precious metal had climbed Rs 325 in Saturday’s trade.

Sovereign however ruled steady at Rs 24,700 per piece of eight gram.

Following gold, silver ready dropped by Rs 350 to Rs 40,800 per kg and weekly-based delivery by Rs 250 to Rs 39,900 per kg.

Silver coins however remained unaltered at Rs 74,000 for buying and Rs 75,000 for selling of 100 pieces.