Silver futures rise over one pc on global cues

Buoyed by a firming trend overseas, silver prices rose by over one per cent to Rs 61,800 per kg in futures trade today as speculators engaged in enlarging their positions in tandem with good domestic demand.

At the Multi Commodity Exchange, silver for September delivery rose by Rs 620, or 1.01%, to Rs 61,800 per kg, with a business turnover of 2,914 lots.

Similarly, the metal for December delivery moved up by Rs 575, or 0.92%, to Rs 63,021 per kg, with a turnover of 82 lots. 

Market analysts said reports of a firming trend in global markets, supported by worries about the spreading euro zone debt crisis and slowing global growth, fueled the demand for the precious metal as an alternative investment, pushing up the silver futures prices.

In addition, a firming trend in the domestic bullion market on the back of marriage season demand supported the upside, they added. Meanwhile, silver shot up by 2.6% to $41.12 an ounce in the US market yesterday.