Gold price falls on stockists selling, global cues

Written by Press Trust of India | Updated: May 19 2013, 01:50am hrs
Gold prices fell by Rs 110 to Rs 26,700 per ten grams in the national capital today on reduced offtake against stockists selling sparked by a weak global trend. Silver, however, held steady at Rs 43,700 per kg in restricted buying.

Traders said stockists selling in tandem with a weak global trend as the dollar jumped to a 34-month high and a Federal Reserve policy maker said US monetary stimulus may be reduced within months, mainly influenced the sentiment.

Gold in New York, which normally set price trend on the domestic front, fell 1.6 per cent to USD 1,364.70 an ounce.

Besides, retail customers refrained from making fresh purchased on off marriage and festival season, dampened the sentiment.

On the domestic front, gold of 99.9 and 99.5 per cent purity fell by Rs 110 each to Rs 26,700 and Rs 26,500 per ten grams, respectively.

Sovereign continued to be asked around previous level of Rs 23,700 per piece of eight gram.

On the other hand, silver ready held steady at Rs 43,700 per kg while weekly-based delivery declined by Rs 300 to Rs 43,655 per kg on lack of speculators buying support.

However, silver coins spurted by Rs 1,000 to Rs 75,000 for buying and Rs 76,000 for selling of 100 pieces.