Gold prices hit 10-month low as haven appeal dissipates

Gold prices hit 10-month low as haven appeal dissipates Zeebiz Bureau

New Delhi: Spot gold dropped to its lowest level in 10 months at USD 1,541.24 an ounce on Thursday, extending the previous day's sharp slide after a steep decline in equities and a disappointing US private-sector job report prompted investors to cash in bullion to cover losses.

Gold, a traditional safe haven, also failed to capitalise on tensions in the Korean Peninsula, where North Korea has moved what appears to be a mid-range Musudan missile to its east coast, according to South Korea's Yonhap news agency.

On the domestic front, gold of 99.9 and 99.5 percent purity tumbled by Rs 500 each to Rs 29,600 and Rs 29,400 per ten grams, respectively. Sovereign also fell by Rs 100 to Rs 25,100 per piece of eight gram.

In line with a general weak trend, silver ready nosedived by Rs 1950 to Rs 51,250 per kg and weekly-based delivery by Rs 1,745 to Rs 50.900 per kg.

With Agency Inputs