Gold reclaims Rs 27,000 mark on seasonal demand, rupee slide

Gold prices rebounded sharply and closed above the Rs 27,000 mark - its highest level in 1-1/2 month at the domestic bullion market on the back of strong uptick by stockists and retailers.
Robust wedding season demand against the backdrop of depreciating rupee value against the dollar and falling equities also added impetus to the surge.
The rupee finished at 13-month low of 63.53 against the Greenback after trade deficit widened to an 18-month high.
However, silver took a hit and plunged sharly below the Rs 38,000 level following heavy speculative unwinding.
Standard gold (99.5 purity) spurted by Rs 145 to conclude at Rs 27,085 per 10 grams from Monday's closing level of Rs 26,940.

Pure gold (99.9 purity) also rose by a similar margin to finish at Rs 27,235 per 10 grams compared to Rs 27,090.

While, silver (.999 fineness) slumped by Rs 755 to end at Rs 37,850 per kg as against Rs 38,605 yesterday.
In worldwide trade, the shiny-metal recovered from its overnight slide in over a year following hectic short covering and funds buying ahead of much awaited Fed meet outcome tomorrow.
Spot gold was trading higher at USD 1,213 an ounce in early European trading.