Gold maintains downtrend on weak global cues, muted demand

Gold prices went down by Rs 40 to Rs 31,360 per ten grams driven by a weak trend overseas amid fall in demand from local jewellers.

Silver followed suit and shed Rs 50 to Rs 40,300 per kg due to reduced offtake by industrial units and coin makers.

Marketmen said, apart from a weak trend overseas, a fall in demand from local jewellers and retailers at the domestic spot market, mainly kept gold prices lower.

Globally, gold fell 0.87 per cent to USD 1,241.50 an ounce and silver 1.71 per cent to USD 15.82 an ounce in New York in yesterday's trade.

In the national capital, gold of 99.9 per cent and 99.5 per cent purity declined further by Rs 40 each to Rs 31,360 and Rs 31,210 per ten grams, respectively. The precious metal had lost Rs 250 in the previous three days.

Sovereign gold, however, remained unaltered at Rs 24,800 per piece of eight grams.

In sync with gold, silver ready eased by Rs 50 to Rs 40,300 per kg and weekly-based delivery cracked below the Rs 39,000-mark by falling Rs 95 to Rs 38,945 per kg.

Silver coins, however, continued to be traded at the previous levels of Rs 75,000 for buying and Rs 76,000 for selling of 100 pieces.