Gold, Silver Tumble on Weak Global Cues, Low Demand

Gold prices plunged by Rs 250 to Rs 27,050 per 10 grams at the bullion market on Tuesday amid a weak trend overseas and low demand from jewellers.

In line with overall trends, silver also dropped by Rs 600 to Rs 37,000 per kg.

Gold in Singapore, which normally determines price trend on the domestic front, lost 0.9 per cent to USD 1,195.50 an ounce, the lowest price since February 24.

Traders said besides fall in demand from jewellers and retailers at existing levels, a weak trend overseas where it slipped to one-week low after the dollar climbed to over 10-year high on strong economic data, dampened the sentiments here.

In the national capital, gold of 99.9 and 99.5 per cent purity plunged by Rs 250 each to Rs 27,050 and Rs 26,850 per 10 grams, respectively. Check gold rates in various cities here.

It had gained Rs 300 in last two trades. Sovereign, however, remained flat at Rs 23,700 per piece of eight grams.

Silver ready also dropped by Rs 600 to Rs 37,000 per kg and weekly-based delivery by Rs 385 to Rs 36,700 per kg.

Silver coins plummeted by Rs 1,000 to Rs 59,000 for buying and Rs 60,000 for selling of 100 pieces, mostly in tune with fall in silver prices.

PTI