Gold snaps two-day rally, falls on global cues

Snapping its two-day rally, gold prices fell by Rs 265 to Rs 31,625 per ten grams in the national capital today due to slacked demand at prevailing higher levels, amid a weak global trend.
Silver also declined by Rs 340 to Rs 49,010 per kg on lack of buying support from industrial units.
Traders said besides sluggish demand at prevailing higher levels, a weak global trend mainly led to fall in gold and silver prices.
Gold in Singapore, which normally set price trend on the domestic front, fell by 0.33 per cent to USD 1,312.20 an ounce and silver by 1.10 per cent to USD 21.99 an ounce.

On the domestic front, gold of 99.9 and 99.5 per cent purity fell by Rs 265 each to Rs 31,625 and Rs 31,425 per ten grams, respectively. It had gained Rs 390 in last two sessions.
However, sovereign found some local buying support and rose by Rs 100 to Rs 25,300 per piece of eight grams.
In line with a general weak trend, silver ready declined by Rs 340 to Rs 49,010 per kg while weekly-based delivery advanced by Rs 200 to Rs 49,300 per kg on speculators buying. The white metal had climbed Rs 850 yesterday.
Meanwhile, silver coins continued to be asked around previous level of Rs 87,000 for buying and Rs 88,000 for selling of 100 pieces.