Gold extends gains for 7th day on seasonal demand, global cues

Globally, gold rose by 0.2 per cent to $1,116.91 an ounce in Singapore.

Rising trend in gold continued for the seventh straight day as prices rose by Rs 10 to trade nearly one-month high at Rs 26,200 at the bullion market today on sustained buying by jewellers amid a firming global trend.

Tracking gold, silver also extended its rally for the eighth day and gained another Rs 30 at Rs 36,130 per kg.

Bullion traders said persistent rise in gold prices was mostly attributed to sustained buying by jewellers to meet seasonal demand and a firming global trend.

Globally, gold rose by 0.2 per cent to $1,116.91 an ounce in Singapore.

Depreciating rupee against the American currency to Rs 65.34 (intra-day), making imports costlier further fuelled the upside, they said.

In the national capital, gold of 99.9 and 99.5 per cent inched up by Rs 10 to Rs 26,200 and Rs 26,050 per ten grams, respectively. It had gained Rs 1,210 in last six days.

Sovereign, however, remained steady at Rs 22,400 per piece of eight gram.

Also, silver ready gained Rs 30 to Rs 36,130 per kg and weekly-based delivery traded higher by Rs 65 to Rs 35,940 per kg.

Silver coins spurted by Rs 1,000 to Rs 51,000 for buying and Rs 52,000 for selling of 100 pieces on upsurge in demand.

Image: Gold bars are stacked in the safe deposit boxes room of the Pro Aurum gold house in Munich. Photograph: Michael Dalder/Reuters