Gold falls by Rs 100 on weak demand; silver recovers

New Delhi: Halting its four-day winning run, gold drifted lower by Rs 100 to Rs 29,350 per 10 gram at the bullion market here today due to weak retail demand.

However, silver recaptured the Rs 41,000-mark by rising Rs 250 to Rs 41,200 per kg on increased offtake by industrial units and coin makers.

Traders attributed the slide in gold prices to fall in demand from jewellers and retailers at existing levels but a firm trend overseas capped the fall.

In the national capital, gold of 99.9 percent and 99.5 percent purity fell by Rs 100 each to Rs 29,350 and Rs 29,200 per 10 grams respectively. The precious metals had gained Rs 750 in the previous four days.

Sovereign, however, held steady at Rs 24,300 per piece of eight gram.

On the other hand, silver ready rebounded by Rs 250 to Rs 41,200 per kg and weekly-based delivery by Rs 180 to Rs 41,000 per kg.

Silver coins, however,continued to be traded at previous level of Rs 72,000 for buying and Rs 73,000 for selling of 100 pieces.

Globally, gold was trading down at USD 1,197.46 an ounce in Singapore.

In New York, gold rose 0.16 percent to USD 1,196.90 an ounce and silver 0.39 percent to USD 16.81 an ounce yesterday.