Gold fails to hold Rs 28,000-level; tumbles Rs 250
New Delhi: Gold prices tumbled by Rs 250 to Rs 27,950 per ten grams in the national capital Tuesday on stockists and investors selling against reduced offtake amid a weak global trend.
Silver also declined by Rs 265 to Rs 46,735 per kg on reduced offtake by industrial units and coin makers.
Traders said stockists selling on the back of sluggish demand at prevailing higher levels mainly kept pressure on both gold and silver prices.
Sentiment also turned bearish as investors offloaded their positions in futures trade driven by a weakening global trend, they said.
Gold in Singapore fell by one percent to USD 1,461 an ounce, recording the biggest monthly loss since December 2011 as assets in bullion-backed exchange-traded products shrank by the most on record.
On the domestic front, gold of 99.9 and 99.5 percent purity fell by Rs 250 each to Rs 27,950 and Rs 27,750 per ten grams, respectively. It had gained Rs 200 in last two days. Sovereign followed suit and shed Rs 100 to Rs 24,200 per piece of eight gram.
In line with a general weak trend, silver ready declined by Rs 265 to Rs 46,735 per kg and weekly-base delivery by Rs 185 to Rs 44,960 per kg. Silver coins also plunged by Rs 1,000 to Rs 76,000 for buying and Rs 77,000 for selling of 100 pieces.