Gold, silver fall on 'Akshaya Tritiya' day

Traders said a weakening trend in the precious metals overseas mainly put pressure on the gold prices

Gold prices fell by Rs 195 to Rs 30,390 per ten grams in the national capital today as auspicious Akshaya Tritiya failed to evoke any sizeable buying support for the metal.

Silver also dropped for the third straight day by losing Rs 430 to Rs 41,650 per kg.

Traders said a weakening trend in the precious metals overseas after the Federal Reserve pressed on with cuts to stimulus amid signs of a recovery in the US, reducing demand for the safe haven, mainly put pressure on the gold prices here.

Globally, gold in Singapore, which normally sets price trend on the domestic front, fell by 0.2% to $1,282.25 an ounce and silver by 0.3% to $18.97 an ounce.

They said, however, token retail purchase on the occasion of Akshaya Tritiya helped minimise the fall in the precious metal prices.

"Scattered buying by jewellers and retail customers on the auspicious day helped boosting sales but failed to curb fall in the gold prices," said Rakesh Ananad, a city-based R K Jewellers.

At Delhi, gold of 99.9 and 99.5% purity fell by Rs 195 each to Rs 30,390 and Rs 30,190 per ten grams respectively, after gaining Rs 185 in the previous day.

Sovereign followed suit and lost Rs 100 to Rs 25,000 per piece of eight gram.

Silver ready fell further by Rs 430 to Rs 41,650 per kg and weekly-based delivery by Rs 355 to Rs 40,975 per kg. It had lost Rs 1,320 in the last two days. Silver coins, however, held steady at Rs 80,000 for buying and Rs 81,000 for selling of 100 pieces.