Gold recovers on renewed demand; silver gains

Gold prices recovered marginally by Rs 45 to Rs 30,875 per 10 grams at the bullion market today following renewed demand from stockists and retailers.

Elsewhere, silver prices surged further by Rs 140 to Rs 40,395 per kg due to sustained offtake by industrial units and coin makers.

Standard gold (99.5 per cent purity) rose by Rs 45 to close at Rs 30,875 per 10 grams from Monday's closing level of Rs 30,830.

Pure gold (99.9 per cent purity) also moved up by a similar margin to end at Rs 31,025 per 10 grams against Rs 30,980, earlier.

Silver (.999 fineness) climbed by Rs 140 to finish at Rs 40,395 per kg as compared to Rs 40,255, yesterday.

Globally, gold prices remained locked just below USD 1,300 an ounce as investors waited for clues on the pace of the US increasing interest rate from a Federal Reserve meeting this week.

Spot gold was down at USD 1,298.15 an ounce in early European trade, while the US gold futures for August delivery were trading lower at USD 1,302 an ounce.

In other precious metals, silver was down at USD 16.86 an ounce after hitting a 7-week high of USD 16.95, yesterday.