Gold, silver stay shaky on global cues, soft demand

Falling for the second straight day, gold prices on Tuesday eased by another Rs 10 to Rs 29,030 per 10 grams, in line with a weak trend overseas amid muted demand from jewellers and customers at the domestic spot market.

Silver followed suit and drifted lower by Rs 50 to Rs 39,150 per kg due to reduced off-take by industrial units and coin makers.

Bullion traders said that besides the weak trend overseas, easing demand from jewellers and customers at the domestic spot market kept pressure on the prices of the precious metals.

Globally, gold fell by 0.14% to $1,243 an ounce and silver by 0.46% to $16.36 an ounce in Singapore.

The rupee strengthening by 25 paise against the dollar to 66.72 (intra-day), thus making imports of precious metals cheaper, dampened sentiment to some extent.

In the national capital, gold of 99.9% and 99.5% purity declined Rs 10 each to Rs 29,030 and Rs 28,880 per 10 grams, respectively. The precious metal had lost Rs 185 on Monday.

Sovereign, however, remained held steady at Rs 22,900 per piece of eight grams in limited deals.

Following gold, silver ready fell by Rs 50 to Rs 39,150 per kg and weekly-based delivery by Rs 115 to Rs 39,040 per kg.

On the other hand, silver coins continued to be traded at the previous level of Rs 67,000 for buying and Rs 68,000 for selling of 100 pieces.