Gold rises by Rs 195 on festive demand

Gold prices rose by Rs 195 to Rs 32,225 per 10 grams Thursday on increased buying by local jewellers to meet festive season demand.

Silver followed suit and recovered by Rs 20 to Rs 39,500 per kg due to increased offtake from industrial units and coin makers.

Traders attributed the rise in gold prices to increased buying by local jewellers, driven by ongoing festive season. Besides, weakness in the rupee, making imports costlier, also fuelled the upward trend in gold prices.

Prices of the yellow metal had declined by Rs 150 to Rs 32,030 per 10 grams Wednesday.

Globally, gold traded steady at USD 1,222.60 an ounce and silver was down 0.69 per cent at USD 14.58 an ounce in New York Thursday.

In the national capital, gold of 99.9 per cent and 99.5 per cent purity rose further by Rs 195 each to Rs 32,225 and Rs 32,075 per 10 grams, respectively.

Sovereign gold, continued to be traded at previous level of Rs 24,700 per piece of eight grams.

Following the rise in gold, silver-ready spurted Rs 20 to Rs 39,500 per kg and weekly-based delivery dropped by Rs 20 to Rs 38,840 per kg.

Silver coins too traded steady at Rs 75,000 for buying and Rs 76,000 for selling of 100 pieces as against previous level of Rs 73,000 and Rs 74,000, respectively.