Gold falls in line with weak global cues, silver melts too

Reflecting a weak trend overseas and slack demand from jewellers, gold broke its three-day winning spell by falling Rs 140 to trade at Rs 30,400 per 10 grams at the bullion market today.
Silver was no better, which dropped by Rs 400 to Rs 42,300 per kg due to reduced off-take by industrial units and coin makers.
Traders said the weakness is mostly because of a firming dollar, which somewhat took the sheen off the precious metal as a safe haven. The fall in demand from jewellers and retailers at the domestic spot market at prevailing levels contributed to the slide too.

Globally, gold fell 0.31 per cent to USD 1,261.30 an ounce and silver 0.37 per cent to USD 17.43 an ounce in Singapore.
In the national capital, gold of 99.9 per cent and 99.5 per cent purity plunged Rs 140 each to Rs 30,400 and Rs 30,250 per 10 grams, respectively. The precious metal had gained Rs 290 in the previous three sessions.
Sovereign, however, remained flat at Rs 24,400 per piece of eight grams in limited deals.
Following gold, silver ready drifted lower by Rs 400 to Rs 42,300 per kg and weekly-based delivery by Rs 365 to Rs 41,905 per kg.

Silver coins, however, remained unaltered at Rs 73,000 for buying and Rs 74,000 for selling of 100 pieces.