Gold glitters on jewellers' buying

Snapping its two-day falling streak, gold recovered by Rs 100 to Rs 29,950 per 10 grams at the bullion market on Wednesday, taking positive cues from global market along with increased buying by jewellers.

Silver also rebounded by Rs 500 to Rs 41,100 per kg due to increased offtake by industrial units and coin makers.

Bullion traders said a firm trend overseas where gold climbed for a second day as assets in bullion-backed funds rose to their highest since December 2013 and Goldman Sachs raised its price forecast, mainly boosted sentiment here. Globally, gold rose 0.7 per cent to USD 1,274.65 an ounce in Singapore.

In addition, increased buying by jewellers, driven by ongoing wedding season supported the upside, they said.

In the national capital, gold of 99.9 and 99.5 per cent purity moved up by Rs 100 each to Rs 29,950 and Rs 29,800 per ten grams respectively.

It had lost Rs 500 in last two days. Sovereign, however, remained stable at Rs 23,300 per piece of eight grams in scattered deals.

Following gold, silver ready traded higher by Rs 500 to Rs 41,100 per kg and weekly-based delivery by Rs 530 to Rs 41,330 per kg.

Silver coins, however, continued to trade in a narrow range in limited deals and settled around previous level of Rs 69,000 for buying and Rs 70,000 for selling of 100 pieces.