Silver rises to Rs 56,000 on global cues, gold up by Rs 70

Both the precious metals, silver and gold, strengthened today on stockists and speculators buying in line with a firming global trend and rising seasonal demand. While silver gained Rs 500 to Rs 56,000 per kg, gold rose by Rs 70 to Rs 22,270 per 10 grams. 

Buying activity gathered momentum on a firming global trend, after silver rebounded from its worst weekly slump since at least 1975 on speculation investors returning to commodity markets and the dollar weakened.

 Silver in global markets, which normally sets a price trend on the domestic front, jumped 2.9% to $36.31 an ounce after plunging 27% last week and gold rose by 0.6% to $1,504.80 an ounce. 

Besides, pick up in buying by retailers and stockists for the ongoing marriage season further fueled the uptrend. 

In the national capital, silver ready strengthened by Rs 500 to Rs 56,000 per kg and weekly-based delivery by Rs 965 to Rs 55,865 per kg. 

However, silver coins lacked necessary follow up support and fell by Rs 2,000 to Rs 61,000 for buying and Rs 62,000 for selling of 100 pieces.

Gold 99.9 and 99.5% purity seen in demand and advanced by Rs 70 each to Rs 22,270 and Rs 22,150 per 10 grams, respectively. Sovereigns gained Rs 100 to Rs 18,400 per piece of eight grams.