Gold falls to Rs 18,725 on reduced offtake, global cues

Gold prices fell by Rs 65 to Rs 18,725 per 10 grams in the national capital today on emergence of selling by stockists at existing higher levels amid a weakening global trend.

The trading sentiment for the precious metal turned bearish after gold declined in Asia on concerns that Europe’s debt crisis might stall the global recovery.

Marketmen said fresh selling by stockists after metal prices declined in Asia mainly led to the fall in gold and silver prices.

A fall in demand at existing higher levels in domestic markets also put pressure on gold prices, they said.

Gold in overseas markets, which normally sets the price trend on the domestic front, declined 0.4 per cent to $1,209.95 an ounce.

Standard gold and ornaments fell by Rs 65 each to Rs 18,725 and Rs 18,575 per 10 grams, respectively, while sovereigns remained steady at Rs 14,600 per piece of eight grams.

Silver ready maintained the previous level of Rs 29,600 per kg, but silver weekly-based delivery declined by Rs 115 to Rs 29,160 per kg due to the lack of buying support.

Meanwhile, the price of silver coins remained at the previous level of Rs 34,400 for buying and Rs 34,500 for selling of 100 pieces.