Gold falls on muted demand, silver shapes up on fresh buying

End of Navratra festival sees gold shed Rs 135 per 10 grams to Rs 27,200; firm trend overseas limits the fall

Gold prices fell Rs 135 to Rs 27,200 per 10 grams at the bullion market today owing to slack demand from jewellers and retailers at prevailing levels even as the metal firmed up in global markets.

However, silver recovered by Rs 385 to Rs 37,285 per kg on increased offtake by industrial units and coin makers.

Traders said easing demand from jewellers and retailers following the end of the auspicious Navratra festival mainly led to the decline in gold prices, but a firm trend overseas restricted the fall.

Globally, gold edged higher 0.3 per cent to $1,169.40 an ounce in Singapore.

Besides, an appreciating rupee against the dollar making the imports cheaper influenced gold prices.

In the national capital, gold of 99.9 per cent and 99.5 per cent purity were down by Rs 135 each to Rs 27,200 and Rs 27,050 per 10 grams, respectively.

Sovereign, however, remained steady at Rs 22,400 per piece of eight grams.

On the other hand, silver ready rose Rs 385 to Rs 37,285 per kg and weekly-based delivery by Rs 225 to Rs 37,160.

Silver coins also spurted by Rs 1,000 to Rs 52,000 for buying and Rs 53,000 for selling of 100 pieces.