Gold Prices Extend Losses To Second Day

New Delhi: Continuing its fall for the second straight day, gold prices drifted down by another Rs 150 to Rs 31,800 per 10 gram at the bullion market today largely in tandem with a subdued trend overseas amid muted demand from local jewellers, news agency Press Trust of India (PTI) reported. However, silver reclaimed the Rs 41,000-mark by spurting Rs 1,110 to Rs 41,560 due to increased offtake by industrial units and coin makers.    

Here are key things to know about gold prices today:

1. Traders said sentiment in gold remained downbeat on the back of weak global cues where gold dropped, weighed down by a stronger dollar amid encouraging signs of an historic US-North Korea summit in Singapore and a likely interest rate hike by the US Federal Reserve, eroding demand for the precious metal as a safe haven.    

2. Globally, gold fell 0.19 per cent to $1,297.50 an ounce in Singapore. Besides, fall in demand from local jewellers and retailers at the domestic spot market too weighed on gold prices, they said.    

3. "The gold prices are holding in a tight range of  Rs. 32,500 to Rs. 31,400 per 10 gram from the past several weeks, taking cues from global markets with a negative bias," says, Mr. Abhishek Bansal, founder and chairman, ABans Group of Companies. 

He expects gold to come down if it closes below Rs. 31,200 per 10 gram on a weekly basis.

4. In the national capital, gold of 99.9 per cent and 99.5 per cent purity fell further by Rs 150 each to Rs 31,800 and Rs 31,650 per 10 gram, respectively. The precious metal had lost Rs 100 yesterday. Sovereign gold, however, remained unaltered at Rs 24,800 per piece of eight grams.    

5. On the other hand, silver ready rallied by Rs 1,110 to Rs 41,560 per kg and weekly-based delivery by Rs 125 to Rs 40,660 per kg. Silver coins, however, continued to be traded at previous level of Rs 76,000 for buying and Rs 77,000 for selling of 100 pieces.

(With PTI Inputs)