Gold rises to Rs 26,540 on global cues, jewellers' buying

New Delhi: Snapping its two-day falling streak, gold prices recovered by Rs 30 to Rs 26,540 per ten grams at the bullion market on Wednesday, tracking a firm trend overseas amidst renewed buying by jewellers to meet wedding season demand.

However, silver remained under pressure and lost another Rs 655 at Rs 35,175 per kg.

Traders said besides a firming trend in the global market, fresh buying by jewellers, triggered by wedding season demand, boosted the sentiment.

Globally, gold rose 0.2 percent to USD 1,127.35 an ounce in Singapore.

Fresh weakness in the rupee against the dollar, making imports costlier, too influenced the gold prices to some extent, they said.

In the national capital, gold of 99.9 and 99.5 percent purity edged up by Rs 30 each to Rs 26,540 and Rs 26,390 per ten grams respectively. It had lost Rs 165 in the last two days.

Sovereign, however, held steady at Rs 22,300 per piece of eight grams in limited deals.

On the other hand, silver ready fell further by Rs 655 to Rs 35,175 per kg and weekly-based delivery by Rs 730 to Rs 35,325 per kg.

Silver coins continued to be traded at unchanged level of Rs 52,000 for buying and Rs 53,000 for selling of 100 pieces.