Gold prices drop by Rs 165 on global cues

Extending losses for the third straight session, gold prices fell by Rs 165 to trade at over four-month low of Rs 26,000 per 10 grams at the bullion market in national capital today amid a weakening global trend and subdued demand from jewellers.
Silver also eased by Rs 250 to Rs 35,400 per kg on reduced offtake by industrial users and coin makers.
Marketmen said besides low demand from jewellers, sustained weakness in the precious metals overseas, where gold fell to the lowest level in nearly three months ahead of the US Federal Reserve's meet outcome, pulled down gold prices.

Gold in Singapore, which normally determines price trend on the domestic front, traded a shade lower at USD 1,148.99 an ounce and silver by 0.2 per cent to USD 15.53 an ounce.
In Delhi, gold of 99.9 and 99.5 per cent purity fell by Rs 165 each to Rs 26,000 and Rs 25,850 per 10 grams, respectively.
Sovereign held steady at Rs 23,600 per piece of eight grams in scattered deals.
In line with gold, silver ready dropped by Rs 250 to Rs 35,400 per kg and weekly-based delivery rose by Rs 155 to Rs 35,520 per kg.
Silver coins plunged by Rs 1,000 to Rs 54,000 for buying and Rs 55,000 for selling of 100 pieces.