Biggest one-day gain for gold this year

Snapping a five-day decline, gold rebounded by Rs 660, its biggest one-day surge this year, to trade at Rs 26,810 per 10 grammes at the bullion market on Saturday.

The metal recovered 2.1 per cent to $ 1,136.60 an ounce in New York on Friday, as wages stagnated in the United States in September, weakening the case for the Federal Reserve to raise interest rates this year.

Silver also rose sharply Rs 1,200 to Rs 35,800 per kg on increased offtake by industrial units and coin makers.

Bullion traders said sentiments got a boost after gold rebounded in global markets and buying by jewellers and retailers at domestic markets at current levels.

In the national capital, gold of 99.9 and 99.5 per cent purity zoomed by Rs 660 each, to trade at Rs 26,810 and Rs 26,660 per ten grams respectively. It had, previously, gained Rs 600 on August 12. The precious metal had lost Rs 1,100 in the past five sessions.

Sovereign gold followed suit and rose by Rs 200 to Rs 22,300 per piece of eight grammes. Following gold, silver too recorded a significant rally of Rs 1,200 to Rs 35,800 per kg but weekly-based delivery shed Rs 70 to Rs 34,575 per kg. Silver coins soared by Rs 1,000 to Rs 50,000 for buying and Rs 51,000 for selling of 100 pieces.