Gold, silver tumble on stockists' selling

Gold prices declined for a second straight day by losing Rs 140 to Rs 30,360 per 10g in the national capital on Wednesday on sustained selling amid a weakening global trend.

Silver plunged Rs 800 to Rs 44,200 a kg on poor offtake by industrial units and coin makers.

A similar trend was seen in Mumbai as gold of 99.9 and 99.5 per cent purity fell Rs 70 and Rs 75 to Rs 30,080 and Rs 29,925 per 10g, respectively, while silver tumbled Rs 850 to Rs 44,900 a kg on sustained stockists' selling.

Traders said sustained selling by stockists was in line with a weak global trend, where gold dropped amid expectations the US stimulus would be cut further. Gold in Singapore lost 0.6 per cent to $1,248.9 an ounce.

Besides, strengthening rupee against the American currency which make the import of the dollar-priced precious metals cheaper further influenced the sentiment, they said. On the domestic front, gold of 99.9 and 99.5 per cent purity surrendered further by Rs 140 each to Rs 30,360 and Rs 30,160 per ten gram, respectively.It had lost Rs 70 yesterday. Sovereign, however, remained in some demand and advanced by Rs 50 to Rs 25,250 per piece of eight gram. In a similar fashion, silver ready dropped further by Rs 800 to Rs 44,200 per kg and weekly-based delivery by the same margin to Rs 44,100 per kg. The white metal had shed Rs 75 in the previous session. Silver coins too plunged by Rs 1,000 to Rs 86,000 for buying and Rs 87,000 for selling of 100 pieces.