Gold spikes on heavy stockists buying; silver recovers

Gold prices staged a smart rebound from its two-month low at the domestic bullion market here following robust demand from stockists and speculators driven by extremely bullish overseas cues.
Silver also regained some lost ground after recent sharp sell-off on renewed industrial offtake.
The domestic sentiment got a big lift after the yellow metal witnessed a rally in worldwide trade on safe-haven demand after the Greek debt negotiations broke down over the weekend amid fears over a potential exit from the eurozone, a bullion trader commented.
Standard gold (99.5 purity) surged by Rs 205 to end at Rs 26,590 per 10 grams from last Saturday's closing level of Rs 26,385.

Pure gold (99.9 purity) also jumped by a similar margin to settle at Rs 26,740 per 10 grams compared to Rs 26,535 previously.
Silver (.999 fineness) rose by Rs 115 to conclude at Rs 36,800 per kg from weekend level of Rs 36,685.
On the global front, spot gold was substantially higher at USD 1,183.70 an ounce in early European trade, while silver quoted at USD 15.90 an ounce.