Gold slips below Rs 89,000 mark on muted demand, silver climbs Rs 500

Gold price slipped below Rs 89,000 per 10 grams in the national capital on Friday due to subdued domestic demand, according to the All India Sarafa Association.

The precious metal of 99.9 per cent purity dipped by Rs 200 to Rs 88,900 per 10 grams registering its second day of decline.

Gold of 99.5 per cent purity also went lower by Rs 200 to Rs 88,500 per 10 grams.

Traders said reduced demand from local jewellers as well as retail buyers led to the fall in gold prices.

However, silver climbed by Rs 500 to Rs 99,500 per kilogram extending the gains for the fourth straight day. In the past four sessions, the white metal had advanced by Rs 3,100.

In futures trade on the MCX, gold for April delivery slipped by Rs 50 to Rs 85,983 per 10 grams.

On the global front, gold futures were trading flat at USD 2,929.30 per ounce. Meanwhile, spot gold rose USD 10.14 or 0.35 per cent to USD 2,921.94 per ounce.

Silver futures, however, in the Asian market hours quoted 0.17 per cent lower at USD 33.28 per ounce.