Gold surges to 2-week high, at 15-k level

Written by Agencies | New Delhi | Updated: May 30 2009, 20:35pm hrs
Gold prices surged to a two-week high to trade at Rs 15,000 per ten gram on the bullion market, driven by a firming global trend where the metal climbed to a three-month high as weak dollar raised its appeal.

Sentiment was also bolstered on the back of a pick-up in buying by stockists and jewellery fabricators.

Standard gold, which had gained Rs 155 in yesterday's trade, climbed Rs 125 to close at Rs 15,100 per 10 gram, a level last seen on May 14.

Ornaments followed suit and rallied to Rs 14,950 per ten gram as against previous level of Rs 14,825. Sovereign also gained Rs 50 to Rs 12,450 per piece of eight gram.

Marketmen said the rally in gold prices was mostly due to firming trends in the global markets where the precious metal reigned high. In New York, the precious metal rose to a three-month high of USD 981.50 an ounce as weak dollar raised its appeal as an alternate investment.

In line with a firming general trend, silver weekly-based delivery spurted further by Rs 420 to Rs 24,170 per kg on speculative buying but silver ready held steady at Rs 23,200 per kg on some support.

Silver coins rose by Rs 200 to Rs 29,500 for buying and Rs 29,600 for selling of 100 pieces.