New Delhi: Gold prices climbed to six-week high and regained the psychological level of Rs 32,000 per 10 gm was the feature of trading on the bullion market during the past week on increased buying by stockists and jewellers to meet the festive demand amid a firming global trend.
Traders said increased buying by stockists and jewellers to meet the festive season demand, including Dhanteras and Diwali, auspicious days in Hindu mythology to make new purchases, mainly led an upsurge in gold and silver.
Firming global trend as speculation that the US will expand monetary stimulus following President Barack Obama's re-election bolstered demand for the metal as a store of value also influenced the trading sentiment, they said.
Gold in New York, which normally set price trend on the domestic front, climbed 3.3 percent, the most since January 27 and silver climb 5.6 percent this week.
Gold is likely to add more ground on 'Dhanteras', considered to be an auspicious day in Hindu mythology for buying precious metals, they added.
In the national capital, gold of 99.9 and 99.5 percent purity opened with a strength at Rs 31,080 and Rs 30,880 and rallied to regain the psychological level of Rs 32,000 to end at Rs 32,125 and Rs 31,925 per ten grams respectively, gaining Rs 1175 each.
Sovereign followed suit and moved up by Rs 100 to Rs 25,500 per piece of eight gram.
In line with a general firming trend, silver ready registered a hefty rise of Rs 3500 to Rs 61,500 per kg and weekly-based delivery by Rs 3280 to Rs 60,915 per kg during the week.
Silver coins also seen in hectic festive demand and registered a noticeable rise of Rs 3000 at Rs 77,000 for buying and Rs 78,000 for selling of 100 pieces. The coins normally used for "Lakshmi Puja" and gifting purpose on Diwali.