Gold ended on a promising note on the eve of Dhanteras in the bullion market on Saturday, completing six days of gains, by adding Rs. 85 to Rs. 32,125 per 10 gm on stockists buying to meet the festival demand amid firming global cues.
Buying activity gathered momentum as stockists expect hike in sale on Dhanteras, considered to be an auspicious day in Hindu mythology for making new purchases, especially precious metals.
Approaching another auspicious festival of Diwali on Tuesday and reports of firming global trend continued to bolster the market sentiment.
Silver also spurted by Rs. 700 to Rs. 61,500 per kg on increased off-take by industrial units.
The gold rose in global markets as speculation that the US will expand monetary stimulus following President Barack Obama’s re-election push up demand for the metals as a store of value. The metal rose 0.3 per cent to USD 1,730.90 an ounce in New York, the highest since October 19.
On the domestic front here, gold of 99.9 and 99.5 per cent purity in a week-long rally added Rs. 85 each to Rs. 32,125 and Rs. 31,925 per 10 gm, respectively, after gaining Rs. 1090 in last five sessions. Sovereign held steady at Rs. 25,500 per piece of eight gram.
Silver ready also notched up a gain of Rs. 700 to Rs. 61,500 per kg and weekly-base delivery by Rs. 615 to Rs. 60,915 per kg.
However, silver coins met with resistance at existing higher levels and plunged by Rs. 1,000 to Rs. 77,000 for buying and Rs. 78,000 for selling of 100 pieces.