Gold falls further on reduced offtake

Gold prices fell further by Rs 150 to Rs 18,860 per ten grams in the national capital today on sustained selling by stockists, influenced by a weakening global trend. Reduced offtake at existing higher levels also put pressure on gold prices.

Investors shifting their funds from bullion to rising stock markets also influenced the trading sentiment to some extent. The dearth of interest from retail customers in the precious metal at the existing high levels also had a negative impact on the market, they said.

Gold in overseas markets, which normally sets the price trend on the domestic front, was down by $1.80 dollar to $1,222.20 an ounce.

Pure gold (99.9) fell further by Rs 150 to Rs 18,860 per ten grams, while gold of 99.5 per cent purity was being traded lower by the same margin at Rs 18,760 per ten grams. Gold had lost Rs 40 in the previous session.

Sovereigns followed suit and lost Rs 50 to Rs 14,600 per piece of eight grams.

In line with the general weakening trend, silver ready plunged by Rs 300 to Rs 29,600 per kg and weekly-based delivery by Rs 455 to Rs 29,135 per kg.

However, silver coins remained steady at Rs 34,500 for buying and Rs 34,600 for selling of 100 pieces.