Gold, silver tumble on reduced offtake, weak global markets
New Delhi: Prices of gold and silver fell here on Tuesday due to reduced offtake by stockists and jewellers at the prevailing higher levels, and a weak trend in the overseas markets.
While gold plunged by Rs 170 to Rs 30,030 per 10 gm, silver lost Rs 450 to Rs 52,850 per kg.
Trading sentiment turned bearish after gold fell the most in two weeks in global markets as the US dollar gained, eroding the demand for the metal as investment.
Gold in New York, which normally sets the price trend on the domestic market, fell 1.9 percent to USD 1,578.90 an ounce, the biggest drop since June 21. Silver also slipped 2.7 percent to USD 26.92 an ounce.
In addition, traders said, reduced offtake by stockists and jewellers at the existing higher levels pushed down the prices.
Gold of 99.9 percent and 99.5 percent purity tumbled by Rs 170 each to Rs 30,030 and Rs 29,830 per 10 gm respectively. Sovereign remained flat at Rs 24,450 per piece of 8 gm.
Similarly, silver ready dropped by Rs 450 to Rs 52,850 per kg and weekly-based delivery by Rs 445 to Rs 53,125 per kg. Silver coins also fell by Rs 1,000 to Rs 61,000 (buying) and Rs 62,000 (selling) of 100 pieces.