Gold stays weak on global cues, muted demand

A weak global trend and sluggish demand from local jewellers pulled down gold price by Rs 30 to Rs 31,360 per ten gram at the bullion market today.
Silver too shed Rs 90 to Rs 39,210 per kg due to reduced offtake by industrial units and coin makers.
Traders said sentiment was dampened due to a weak trend overseas where the strong dollar following comments from Federal Reserve Chairman that fanned concerns of faster-than-expected hikes in US interest rates, took away some of the safe haven appeal of the precious metal.
Besides, subdued demand from local jewellers too weighed on the gold prices, they added.

Globally, gold fell 0.30 per cent to USD 1,313.80 an ounce and silver by 0.34 per cent to USD 16.33 an ounce in Singapore.
In the national capital, gold of 99.9 and 99.5 per cent purity declined by Rs 30 each to Rs 31,360 and Rs 31,210 per ten gram, respectively. It had lost Rs 460 yesterday.

Sovereign however remained unaltered at Rs 24,800 per piece of eight gram.
In step with gold, silver ready fell by Rs 90 to Rs 39,210 per kg and weekly-based delivery by Rs 80 to Rs 38,045 per kg.
Silver coin however traded at previous level of Rs 74,000 for buying and Rs 75,000 for selling of 100 pieces.