Gold price nosedives by Rs 1000, silver by Rs 2040
Zee Media Bureau
New Delhi: Gold prices plunged by nearly Rs 1,000 per 10 grams in future trade on Thursday as participants reduced their positions largely in tandem with a weak trend overseas.
Besides, subdued spot demand also weighed on the prices.
At the Multi Commodity Exchange, the most-active delivery in August contracts traded Rs 980, or 3.50 percent lower at Rs 27,031 per 10 grams, clocking a turnover of 44,961 lots.
On similar lines, the metal for delivery in October fell sharply by Rs 925, or 3.28 percent to Rs 27,250 per ten gram in 1,699 lots.
At the spot markets, gold traded Rs 400 lower at Rs 28,000 per 10 grams in the national capital.
Silver prices plummeted by Rs 2040 to Rs 41910 per kg.
Globally, gold dropped by 3.4 percent to USD 1,304.75 per ounce, its lowest since September 30, 2010 in London.
The yellow metal had earlier hit USD 1, 321 per ounce on April 16.
Analysts said besides subdued domestic demand, a weak trend in the overseas markets as the US Federal Reserve Chairman Ben Bernanke said it could start tapering off its massive stimulus programme later this year, mainly weighed on gold prices at futures trade here.
They said, however, depreciating rupee which slumped to a record low of 60 against the dollar, cushioned the fall as weak rupee makes imports costlier.
With Agency Inputs