Gold extends losses, sheds ₹30 on global cues, muted demand

Mumbai-India (May 5)  Falling for the fifth straight session, gold prices fell by ₹30 to ₹28,850 per 10 grams at the bullion market today, tracking a weak trend overseas amid low demand from local jewellers.

Silver also remained under selling pressure and shed ₹50 to ₹38,800 per kg due to reduced offtake by industrial units and coin makers.

Traders said, a weak trend overseas as investors speculate the jobs report will bolster the case for raising interest rates, eroding demand for the precious metals, mainly kept pressure on the precious metal prices.

Besides, low demand from local jewellers too fuelled the downward trend, they said.

Globally, gold fell 0.78 per cent to USD 1,228 an ounce and silver by 0.91 per cent to USD 16.30 an ounce in New York in yesterday’s trade.

In the national capital, gold of 99.9 per cent and 99.5 per cent purity drifted lower by ₹30 each to ₹28,850 and ₹28,700 per 10 grams, respectively.

The precious metal had lost ₹670 in the previous four sessions.

Sovereign, however, remained unaltered at ₹24,300 per piece of eight grams.

Following gold, silver ready declined by ₹50 to ₹38,800 per kg, while weekly-based delivery regained the ₹38,000-mark by rising ₹195 to ₹38,145 per kg on speculative buying.

On the other hand, silver coins remained steady at ₹69,000 for buying and ₹70,000 for selling of 100 pieces.

Source: TheHindu