Gold rises on firm global cues; silver steady in thin trade

Gold prices rose by Rs 45 to Rs 20,580 per ten grams in the national capital today on emergence of buying for the ongoing marriage season amid firm global cues.

However, silver held steady at Rs 44,000 per kg in restricted buying activity. 

Buying in gold picked up on firm global trend as Fitch Ratings downgraded Greece's credit rating, which raised concern that the European sovereign-debt crisis would continue, boosting demand for the metal as an alternative investment option, traders said.

Gold in global markets, which normally sets the price trend on the domestic front,  gained 0.3 per cent to $1,365.95 an ounce. 

Beside some local buying for the current marriage season supported the uptrend, they added.

On the domestic front, the gold of 99.9 and 99.5 per cent purity rose by Rs 45 each to Rs 20,580 and Rs 20,460 per ten grams, respectively. Sovereign remained stable at Rs 16,900 per piece of eight grams.

Silver ready held steady at Rs 44,000 per kg while silver weekly-based delivery lost Rs 15 to Rs 43,800 per kg. 

Due to marriage season demand silver coins gained Rs 200 to Rs 50,500 for buying and Rs 50,600 for selling of 100 pieces, they said.