Gold snaps 3-day slide on jewellers' buying

Reversing a three-day falling streak, gold prices rose by Rs 50 to Rs 31,650 per 10 grams at the bullion market today on emergence of buying by local jewellers amid better global cues.

However, silver continued to remain under selling pressure and shed another Rs 50 to Rs 40,450 per kg.

Traders said apart from positive global cues, emergence of demand for ornaments from local jewellers and retailers at existing levels mainly led to the recovery in gold prices.

Globally, gold traded a shade higher at USD 1,293.40 an ounce in early trade at the London market.

In the national capital, gold of 99.9 per cent and 99.5 per cent purity edged up by Rs 50 each to Rs 31,650 and Rs 31,500 per 10 grams, respectively. The precious metal had lost Rs 490 in the previous three sessions.

Sovereign, however, remained unaltered at Rs 24,800 per piece of eight grams.

On the other hand, silver ready drifted further lower by Rs 50 to Rs 40,450 per kg and weekly-based delivery slipped by Rs 45 to Rs 39,490 per kg.

Silver coins, however, continued to be traded at the previous level of Rs 76,000 for buying and Rs 77,000 for selling of 100 pieces.