Gold extend losses, down Rs 120 on lacklustre demand

Gold prices today fell further by Rs 120 to Rs 30,830 per 10 grams at the local market here owing to weak demand from jewellers despite a firm trend in overseas markets.

Gold had dropped by Rs 150 per 10 grams yesterday.

On their hand, silver recovered by Rs 50 to Rs 39,850 per kg on scattered enquiries from industrial units and coin makers.

Marketmen said gold dropped due to a weak demand from local jewellers and retailers but a better trend overseas limited the slide.

Globally, gold was trading higher by 0.38 per cent to USD 1,331.40 an ounce and silver by 0.59 per cent to USD 17.03 an ounce in Singapore.

Trading volume remained thin due to diversion of funds by investors towards soaring equity markets, they said.

In the national capital, gold of 99.9 per cent and 99.5 per cent purity fell by another by Rs 120 each to Rs 30,830 and Rs 30,680 per 10 grams, respectively.

Sovereign, however, remained unaltered at Rs 24,800 per piece of eight grams.

On the other hand, silver ready recovered by Rs 50 to Rs 39,850 per kg and weekly-based delivery by Rs 30 to Rs 38,990 per kg.

Silver coins continued to be traded at previous level of Rs 74,000 for buying and Rs 75,000 for selling of 100 pieces.