Gold spurts by another Rs 240 on global cues

Gold prices spurted by yet another Rs 240 per ten grams to end at Rs 15,425 on the bullion market here today on persistent stockists buying following sharp overnight rally in New York.

Silver also shot up in line with gold prices coupled with firm trend in overseas market.

Gold futures rallied more than four per cent to near $960 an ounce in New York, as the Federal Reserve's plans to purchase as much as $1.15 trillion in US bonds and mortgage-backed securities sparked worries of inflation ahead, rising gold's appeal as a hedge against rising prices.

Gold for April delivery surged by $68.70 to $958.80 an ounce on the Comex division of the New York Mercantile Exchange. Silver for May delivery jumped to end at $13.52 an ounce.

In the domestic market, Standard gold (99.5 purity) shot up Rs 240 per ten grams to at Rs 15,425 as against Rs 15,185 yesterday and pure gold (99.9 purity) also rose by Rs 245 per ten grams to Rs 15,490 from Rs 15,245.

Silver ready (.999 fineness) rallied by Rs 755 per kilo to Rs 22,535 from Rs 21,780.