Gold prices rebounded by Rs. 280 to Rs. 31,700 per ten gram in the national capital on Saturday on brisk buying by stockists and jewellers to meet the festive season demand amid a firm global trend.
Silver also spurted by Rs. 1,730 to Rs. 53,530 per kg on increased offtake by industrial units and coin makers.
Traders said brisk buying by stockists to meet the festive season demand mainly led an upsurge in gold and silver prices.
Firm global trend where gold jumped to a 11-week high, topping 1,400 dollar an ounce, as sales of new U.S. homes fell, boosting speculation that the Federal Reserve will maintain economic stimulus, also supported the upsurge, they said.
Gold in New York, which normally set price trend on the domestic front, rose by 1.5 per cent to 1,396.30 dollar an ounce, after touching 1,400.38 dollar, highest since June 7.
On the domestic front, gold of 99.9 and 99.5 per cent purity rose by Rs. 280 each to Rs. 31,700 and Rs. 31,500 per ten grams, respectively. It had lost Rs. 330 on Friday. Sovereign remained steady at Rs. 25,100 per piece of eight gram.
In a similar fashion, silver ready spurted by Rs. 1,730 to Rs. 53,530 per kg and weekly-based delivery by Rs. 1,950 to Rs. 53,600 per kg. The metal had lost Rs. 100 on Friday.
Silver coins also surged by Rs. 2,000 to Rs. 90,000 for buying and Rs. 91,000 for selling of 100 pieces.
