Gold, silver weaken on sluggish demand, global cues

Gold prices fell by Rs 90 to Rs 26,360 per 10 grams in the national capital on Thursday as demand eased at existing levels amid a weak global trend.

Silver too showed weakness and prices declined by Rs 100 to Rs 35,400 per kg on reduced offtake by industrial units and coin makers.

Traders said apart from fall in demand from jewellers and retailers at prevailing levels, a weak global trend as the strengthening dollar eroded appeal for the precious metal, mainly influenced sentiments in New Delhi.

Gold in Singapore, which normally sets price trend on the domestic front, fell by 0.5 per cent to $1,156.72 an ounce and silver by 0.2 per cent to $15.65 an ounce.

In Delhi, gold of 99.9 and 99.5 per cent purity declined by Rs 90 each to Rs 26,360 and Rs 26,160 per 10 grams, respectively.

Sovereign, however, remained steady at Rs 23,700 per piece of eight grams.

Similarly, silver ready met with resistance and traded lower by Rs 100 to Rs 35,400 per kg but weekly-based delivery gained Rs 165 to Rs 34,765 per kg on speculative buying.

On the other hand, silver coins continued to be asked at last level of Rs 58,000 for buying and Rs 59,000 for selling of 100 pieces.