Silver dips below 49k level, tracking global trend

Silver prices slipped below Rs 49,000 per kg level in futures trade today after speculators off-loaded their positions on weak cues from global markets.

Further, a weakening trend at the spot markets due to subdued demand put pressure on the metal prices.

At the Multi Commodity Exchange, silver for delivery in May dipped below Rs 49,000 level by losing Rs 880, or 1.78%, to Rs 48,550 per kg, with a turnover of 9,005 lots.

Similarly, silver for delivery in far-month July contracts dropped by Rs 884, or 1.75%, to Rs 49,532 per kg, with a business turnover of 792 lots.

At the domestic spot markets, silver ready nosedived by Rs 2,500 to Rs 50,100 per kg in the national capital.

Analysts said a weak trend in global markets as investors shfited their funds towards dollar, equity and other safe-haven assets, mainly put pressure on the silver futures prices here.

In addition, subdued demand at domestic spot markets also weighed on the prices, they said.

Meanwhile, silver plunged 6.54% to $25.85 an ounce in New York yesterday.