Gold softens by Rs 25 on muted demand; silver remains steady

Gold prices weakened by Rs 25 to Rs 29,525 per ten gram at the bullion market in Monday as demand from local jewellers slackened even as the metal gained strength overseas.

Silver held steady at Rs 38,100 per kg in limited deals from industrial units and coin makers.

Traders said easing demand from local jewellers and retailers at the domestic spot market as wedding season comes to an end, weighed on gold prices but a better trend overseas capped the fall.

Globally, gold traded higher 0.10 per cent to 1,256.30 ounce in Singapore.

In the national capital, gold of 99.9 and 99.5 per cent purity shed Rs 25 each to Rs 29,525 and Rs 29,375 per ten gram respectively. It had gained Rs 40 in Saturday's trade.

Sovereign, however, went up by Rs 100 to Rs 24,500 per piece of eight gram.

On the other hand, silver ready ended flat at Rs 38,100 per kg, while weekly-based delivery traded higher by Rs 130 to Rs 37,335 per kg.

Silver coins however remained unaltered at Rs 70,000 for buying and Rs 71,000 for selling of 100 pieces.