Gold turns weak on global cues, sluggish demand

Loses Rs 40 to trade at Rs 26,210 per 10 grams in NCR, silver sheds Rs 230 a kg to Rs 33,795

Gold prices retreated by Rs 40 to Rs 26,210 per ten gram at the bullion market today owing to lower global trend amid easing spot demand from jewellers.

Silver followed suit and declined by Rs 230 to Rs 33,795 per kg on reduced offtake by industrial units and coin makers.

Bullion traders said besides a weak trend overseas, fall in demand from jewellers in domestic spot market at prevailing levels mainly led to the decline in gold and silver prices.

Globally, gold fell 0.2 per cent to $1,076.37 an ounce in Singapore, while it ended 1.37 per cent down at USD 1,078.50 an ounce in New York in yesterday's trade.

In the national capital, gold of 99.9 and 99.5 per cent purity fell by Rs 40 each to Rs 26,210 and Rs 26,060 per ten grams respectively. It had climbed by Rs 190 yesterday.

Sovereign, however, remained steady at Rs 22,300 per piece of eight grams in limited deals.

Tracking gold, silver ready dipped below Rs 34,000-mark by falling Rs 230 to Rs 33,795 per kg and weekly-based delivery by Rs 300 to Rs 33,800 per kg.

On the other hand, silver coins, continued to be traded at previous level of Rs 48,000 for buying and Rs 49,000 for selling of 100 pieces.