Gold price stretches losses on lower demand, silver recovers
Mumbai: Gold stretched losses for the third day Wednesday at the domestic bullion market here on continued selling by stockists and investors amid mute local buying interest as well as uncertain global cues.
Silver recovered on good speculative-demand on the back good industrial offtake.
Standard gold of 99.5 percent purity dropped by Rs 195 to end at Rs 31,100 per 10 grams from Tuesday's closing level of Rs 31,295.
Pure gold of 99.9 percent purity also dipped by Rs 190 to conclude at Rs 31,250 per 10 grams as compared to Rs 31,440.
However, silver ready (.999 fineness) rose by Rs 510 to finish at Rs 50,530 per kilo from Rs 50,020 yesterday.
"Physical buying is dull for the shiny metal on the hope of further correction, which may pick up during the auspicious occasion of 'Dhanteras'," dealers said.
At overseas, gold moved up on investors hope that the US Federal Open Market Committee (FOMC) meet report later in the day would keep its stimulus intact for several more months.
Spot gold was bid higher at USD 1,349.14 an ounce in early trade, while spot silver bid up at USD 22.69 an ounce.