Gold prices fell from their near record level to Rs. 18,340 per ten grams in the bullion market on Thursday on fresh selling, losing Rs. 110 in tandem with the weak global trend.

Reduced offtake by retailers and jewellers at higher levels fuelled the downtrend. In the previous session, the metal rose to Rs. 18,450 per ten grams, close to the record level of Rs. 18,550 registered on December 3.

With the general weak trend, silver dropped by Rs. 350 to Rs. 28,950 per kg on lack of buying support from industrial units and coins manufacturers.

Investors refrained from purchasing gold at higher levels and the shifting of funds from bullion to rising equity markets, also influenced the sentiment.

The price of gold in overseas markets, which normally sets the trend on the domestic front, fell by one per cent to USD 1,182.35 an ounce.

Standard gold and ornaments fell by Rs. 110 each to Rs. 18,340 and Rs. 18,190 per ten grams respectively. Sovereigns remained steady at Rs. 14,450 per piece of eight grams in restricted buying.

Silver ready plunged by Rs. 350 to Rs. 28,950 per kg and weekly-based delivery by Rs. 650 to Rs. 28,730 per kg. Silver coins were being traded lower by Rs. 100 at Rs. 34,300 for buying and Rs. 34,400 for selling of 100 pieces.

Keywords: bullion report

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