Gold loses sheen on global cues, muted demand

Gold prices slumped by Rs 300 to Rs 30,250 per ten grams at the bullion market today, tracking a weak trend overseas amid muted demand from jewellers at spot market.
However, silver recovered marginally by Rs 10 to Rs 42,110 per kg on scattered enquiries from industrial units.
Traders said sentiment dampened largely in tune with a weak trend where gold dropped after posting the biggest two-day gain in more than seven years following the UK's vote to exit from the European Union, raising demand for the safe haven.
Globally, gold lost 0.8 per cent to USD 1,313.62 an ounce in Singapore.

Furthermore, fading demand from jewellers and retailers at domestic spot market fuelled the downward trend, they said.
In the national capital, gold of 99.9 and 99.5 per cent purity plunged by Rs 300 each to Rs 30,250 and Rs 30,100 per ten grams, respectively. It had gained Rs 150 yesterday.

Sovereign also declined by Rs 100 at Rs 23,300 per piece of eight grams.
On the other hand, silver ready edged up by Rs 10 to Rs 42,110 per kg, while weekly-based delivery dropped by Rs 490 to Rs 41,900 per kg.
Silver coins, however, continued to trade at previous levels of Rs 72,000 for buying and Rs 73,000 for selling of 100 pieces.