Gold tumbles to two-and-half month low

Gold prices slumped to a two and half month low by slipping Rs 300 per 10 gm to Rs 17,765 at the bullion market here today due to heavy stockists offloading, triggered by a weakening trend overseas.

Tracking gold, silver also plunged to one-and-half month low on speculative sell off coupled with lack of industrial support.

Standard gold (99.5 purity) dropped sharply by Rs 300 per 10 gm to end at Rs 17,765, a level not seen since May 10, 2010, when it ended at Rs 17,495, from yesterday’s closing level of Rs 18,065.

Pure gold (99.9 purity) also fell by Rs 295 per 10 gm to close at Rs 17,860 from Rs 18,155 previously.

Silver ready (.999 fineness), tanked by Rs 620 a kg to Rs 28,960, as against Tuesday’s closing level of Rs 29,580. In New York, gold for August delivery fell to three-month low by $25.10 to $1,158 an ounce yesterday on the Comex Division of NYME.