Gold extends gain as govt eases buying norms

New Delhi: Gold prices moved up by another Rs 70 to Rs 30,620 per 10 grams at the bullion market on Monday, as buying by jewellers and retailers increased after the government revoked an order mandating PAN and Aadhaar cards for purchases above Rs 50,000.

A firming trend overseas, stoked by demand for the safe- haven on fresh concerns over North Korea's nuclear plans, also helped strengthen the rates in the domestic market. This was its third straight day of gains. It had gained Rs 175 in the previous two days.

Silver followed suit and advanced by Rs 100 to Rs 40,700 per kg on increased offtake by industrial units and coin makers.

Market sentiment turned upbeat with the government revoking an order that mandated PAN and Aadhaar cards for purchases above Rs 50,000, spurring retail buying.

The government has removed gems and jewellery dealers from the purview of the reporting requirement under the Prevention of Money Laundering Act (PMLA).

The government rolled back August 23 notification that notified dealers in precious metals, precious stones and other high value goods as persons carrying on designated business and professions under the PMLA, 2002.

Globally, gold rose 0.48 per cent at USD 1,282.20 an ounce in Singapore.

In the national capital, gold of 99.9 and 99.5 per cent purity advanced by Rs 70 each to Rs 30,620 and Rs 30,470 per 10 grams, respectively.

Sovereign, however, remained unaltered at Rs 24,700 per piece of eight grams.

Tracking gold, silver ready strengthened by Rs 100 to Rs 40,700 per kg and weekly-based delivery by Rs 270 to Rs 39,870 per kg.

Silver coins, however, continued to be traded at previous level of Rs 74,000 for buying and Rs 75,000 for selling of 100 pieces.