Gold loses sheen, dips below Rs 31,000 on global cues

Gold prices slumped by Rs 170 to trade at Rs 30,930 per ten grams at the bullion market today in tandem with a weak trend overseas amid muted demand from jewellers at spot market.

Silver also plunged by Rs 900 to Rs 46,300 per kg on reduced offtake by industrial units and coin makers.

Traders said fall in gold prices overseas and slide in demand from jewellers at the domestic spot markets mainly weighed on the precious metal prices here.

Globally, gold dropped 1.7% to $1,344.40 an ounce in New York, the biggest loss since May 24 in yesterday's trade.

In the national capital, gold of 99.9 and 99.5% purity plunged by Rs 170 each to Rs 30,930 and Rs 30,780 per ten grams, respectively. It had gained Rs 50 yesterday.

Sovereign, however, remained flat at Rs 24,200 per piece of eight grams.

Also, silver ready tumbled by Rs 900 to Rs 46,300 per kg and weekly-based delivery by Rs 1,400 to Rs 46,225 per kg.

In line with overall trend, silver coins plummeted by Rs 1,000 to Rs 75,000 for buying and Rs 76,000 for selling of 100 pieces.