Gold gives up ground from 3-yr high, tumbles Rs 600

Gold prices came off a three-year high by plunging Rs 600 to Rs 31,150 per 10 grams today, hit hard by big fall in demand from jewellers amid profit-booking by stockists, but the metal firmed up overseas.
Silver too broke below the Rs 45,000-mark by slipping Rs 300 to Rs 44,700 per kg on stockists selling amid reduced offtake by coin makers.
Traders said slowdown in buying by jewellers at the existing higher levels mainly dragged the precious metal down from the three-year highs.
However, a firming trend overseas where gold surged 0.92 per cent to USD 1,289.90 in Singapore capped the downside.

In the national capital, gold of 99.9 per cent and 99.5 per cent purity dropped by Rs 600 each to Rs 31,150 and Rs 31,000 per 10 grams, respectively.
Gold prices yesterday hit a 3-year high of Rs 31,750 per 10 grams, gaining a whopping Rs 900, after the government scrapped high-denomination notes to curb black money and a firming trend overseas in view of Donald Trump's stunning victory in the US presidential election.

Sovereign followed suit and declined by Rs 100 to Rs 24,600 per piece of eight grams.
In line with the overall trend, silver ready retreated by Rs 300 to Rs 44,700 per kg while weekly-based delivery fell by Rs 375 to Rs 43,900 per kg.

On the other hand, silver coins held steady at Rs 77,000 for buying and Rs 78,000 for selling of 100 pieces.