Gold, silver recover on buying by jewellers, global cues

Snapping its three-day losing streak, gold prices recovered by Rs 50 to Rs 26,800 per 10 grams at the bullion market on Friday due to increased buying by jewellers at prevailing levels amid a firm global trend.

Silver also edged up by Rs 100 to Rs 36,750 per kg on better offtake by industrial units and coin makers.

Traders said emergence of buying by jewellers and retailers at existing levels and a better trend in the global markets mainly led to the recovery in gold prices.

Gold in London, which normally sets price trend on the domestic front, was up by 0.85 per cent to USD 1,203.70 an ounce in early trade today.

In the national capital, gold of 99.9 and 99.5 per cent purity rose by Rs 50 each to Rs 26,800 and Rs 26,650 per 10 grams, respectively. It had lost Rs 500 in last three days.

Sovereign, however, remained steady at Rs 23,700 per piece of eight grams in limited deals. Silver ready also traded higher by Rs 100 to Rs 36,750 per kg but weekly-based delivery shed Rs 50 at Rs 36,400 per kg on lack of support from speculators.

On the other hand, silver coins continued to be asked at last level of Rs 55,000 for buying and Rs 56,000 for selling of 100 pieces.