Gold gains on firm global trend

Gold extended last week's gains adding Rs 150 to reach Rs 17,250 per 10 gram here today due to sustained buying on a firming global trend.

Prices advanced to the highest level in more than a month in international markets as a weak dollar increased the demand for the precious metal as an alternate investment.

Marketmen said the upsurge in overseas markets has come at a time when the market is experiencing high demand for the ongoing marriage season, adding that equity markets moving in a narrow range also shifted investor money to bullion for quick gains.

Gold in the Asian region gained 1.8 per cent to $1,158.40 an ounce, the highest since December 8, 2009. A similar positive trend was noticed in silver also, which jumped as much as 2 per cent to $18.84 an ounce, the highest since December 4, 2009.

Standard gold and ornaments gained Rs 150 each at Rs 17,250 and Rs 17,100 per ten gram, respectively. The metal gained Rs 220 in the previous session.

Sovereign also gained Rs 50 to Rs 14,050 per eight-gram piece.

Silver ready prices rose by Rs 150 to Rs 28,700 per kg and weekly-based delivery by Rs 245 to Rs 28,470 per kg on speculative support.

Silver coins, on the other hand, surrendered Rs 100 to Rs 33,700 for buying and Rs 33,800 for selling of 100 pieces.