Gold perks up on higher global cues, jewellers’ buying

Tuesday, May 31, 2016,17:24 IST By Metrovaartha A A A

New Delhi | Snapping its three-day falling trend, gold bounced back to trade Rs 185 higher at Rs 28,850 per 10 grams at the bullion market today, tracking a firm trend overseas amid fresh buying by jewellers at domestic spot market.

Silver also halted its 3-day losing streak and rebounded by Rs 400 to Rs 38,900 per kg due to increased offtake by industrial units and coin makers. Bullion traders said sentiment bolstered after gold advanced for the first time in 10 days to snap its longest sell-off in more than a year in global markets ahead of data from the US which may determine the timing of monetary policy tightening.

Globally, gold rose 0.8 per cent to USD 1,214.63 an ounce in Singapore. The precious metal dropped to USD 1,199.80 yesterday, the lowest intra-day level since February 17, and is down 6.2 per cent this month. Fresh buying by jewellers at prevailing levels at the domestic spot market also supported the recovery in the precious metals, they said.

In the national capital, gold of 99.9 per cent and 99.5 per cent purity surged by Rs 185 each to Rs 28,850 and Rs 28,700 per 10 grams, respectively. It had lost Rs 560 in the last three days. Sovereign also went up by Rs 100 to Rs 22,900 per piece of eight grams.

Following gold, silver ready recovered by Rs 400 to Rs 38,900 per kg and weekly-based delivery by Rs 290 to Rs 38,740 per kg. Silver coins, however, maintained steady at Rs 66,000 for buying and Rs 67,000 for selling of 100 pieces.