Gold falls Rs 100 on muted demand, weak global trend

Gold prices Tuesday drifted lower by Rs 100 to Rs 32,770 per 10 grams in the national capital, owing to weak demand from jewellers tracking subdued trend overseas, according to the All India Sarafa Association.

Silver also declined by Rs 145 to Rs 38,425 per kg on reduced offtake by industrial units and coin makers.

Traders said the fall in domestic demand and weak trend overseas led to a decline in prices of yellow metal.

On Monday, gold had surged Rs 200 on the back of higher crude rates amid escalating tensions between the US and Iran.

Globally, spot gold was trading lower at USD 1,273.80 an ounce, while silver was down at USD 15.06 an ounce in New York.

In the national capital, gold of 99.9 per cent and 99.5 per cent purity lost Rs 100 to Rs 32,770 and Rs 32,600 per 10 gram, respectively.

Sovereign gold held steady at Rs 26,400 per eight gram.

Silver ready dropped Rs 145 to Rs 38,425 per kg, while weekly-based delivery dropped Rs 207 to Rs 37,320 per kg.

On the other hand, silver coins held flat at Rs 80,000 for buying and Rs 81,000 for selling of 100 pieces.