Gold turns soft on poor buying, weak overseas trend

Gold prices declined marginally at the bullion market here due to reduced offtake by jewellery stockists as well as subdued local investment sentiment.
Lack of buying support at existing levels amid investors caution after a big weekend rally against the backdrop of sluggish overseas cues, dampening the mood, a bullion trader commented.
On the other hand, silver strengthened further owing to sustained demand from consuming industries.
Standard gold (99.5 purity) moved down by Rs 20 to settle at Rs 26,210 per 10 grams from last Saturday's close of Rs 26,230.
Pure gold (99.9 purity) also fell by a similar margin to finish at Rs 26,360 per 10 grams compared to Rs 26,380 earlier.

However, silver (.999 fineness) rose by Rs 160 to end at Rs 36,230 per kg from Rs 36,070 last weekend.

In worldwide trade, the yellow-metal traded almost flat after Friday's massive surge triggred by a dismal US jobs data that scattered expectations of a near-term Fed interest rate hike.
Gold had been pressured lower in recent months by Fed rate hike uncertainty.
Spot was little changed at USD 1,137 an ounce in early European trade, while silver quoted a bit lower at USD 15.50 an ounce.