Gold declines 3rd day in row on weak global cues

Gold prices extended losses for the third straight day in the bullion market today falling by Rs 60 to close at Rs 14,700 per ten grams as selling pressure picked up on the back of weakening global trend.

Silver also dropped by Rs 200 to Rs 22,800 per kg due to reduced offtake by industrial units.

Selling pressure gathered momentum as the metal prices continued to slide in the international market as stronger dollar reduced demand as an alternative investment.

Marketmen said persistent selling by stockists in the wake of weakening global trend in US market where gold prices touched 935.60 dollar an ounce mainly pulled gold prices down.

Absence of marriage and festival seasons also reduced the metal demand, they said.

Standard gold and ornaments which had lost 115 in last two trading sessions, fell further by Rs 60 to Rs 14,700 and Rs 14,550 per ten gram respectively. Sovereign, however, remained flat at Rs 12,400 in thin trading.

In similar manner, silver ready tumbled by Rs 200 to Rs 22,800 per kg and weekly-based delivery by Rs 420 to Rs 23,300 per kg.

On the other hand, silver coins continued to be asked around previous level of Rs 29,500 for buying and Rs 29,600 for selling of 100 pieces.