Gold, silver remain weak on global cues

On the domestic front, gold of 99.9 and 99.5 per cent purity remained weak and declined further by Rs. 90 each to Rs. 20,440 and Rs. 20,330 per 10 grams, respectively. File Photo

Both the precious metals, gold and silver continued to slide for the second straight day in the national capital on Saturday sustained selling by stockists, triggered by a sharp fall in global markets.

Trading sentiment remained weak, as gold tumbled the most in four months in global markets on speculation that China will raise interest rates to cool the economy, might eroding demand for the metals.

Fall in demand at prevailing higher levels also influenced the trading sentiment to some extent.

Gold in global markets, which normally sets the price trend on the domestic front here, recorded a sharp fall of USD 40.10 to USD 1,368.80 an ounce.

On the domestic front, gold of 99.9 and 99.5 per cent purity remained weak and declined further by Rs. 90 each to Rs. 20,440 and Rs. 20,330 per 10 grams, respectively. The metal had lost Rs. 70 in the previous session.

However, sovereign continued to trade around previous level of Rs. 16,400 per piece of eight gram.

In line with a general weak trend, silver ready remained under selling pressure and dropped further by Rs. 400 to Rs. 39,950 per kg and silver weekly-based delivery by Rs. 590 to Rs. 39,410 per kg.

Silver coins remained stable at Rs. 43,800 for buying and Rs. 43,900 for selling of 100 pieces.