Silver down by 0.2% on weak overseas cues

Silver prices declined 0.19% to Rs 39,740 per kg in futures trade today as speculators reduced their exposure amid a weak trend in global markets.

At Multi Commodity Exchange, silver prices for delivery in far-month September contracts traded lower by Rs 75, or 0.19%, to Rs 39,740 per kg in business turnover of 4 lots.

Similarly, the white metal prices for delivery in July declined Rs 61, or 0.16%, to Rs 39,215 per kg in business volume of 357 lots.

In the international market, silver prices traded little changed at 17.10 an ounce in Singapore. Prices tumbled 3.5% yesterday, the most since February 17.

Analysts attributed the fall in silver prices in futures trade to a weak trajectory in global markets before the Fed releases minutes of its last meeting amid speculation that an improving housing market will boost the case for higher interest rates.