Gold perks up on global cues, jewellers' buying

Gold prices recovered by Rs 50 to reach Rs 31,900 per 10 grams at the bullion market Saturday,  driven by a firm trend overseas amid fresh buying by local jewellers.

Silver too rebounded by Rs 550 to Rs 39,800 per kg on the back of increased offtake by coin makers.

Traders said besides a firm trend overseas, increased demand from local jewellers mainly led to the recovery in gold prices.

Globally, gold traded higher at USD 1,202.70 an ounce and silver too advanced to USD 14.63 an ounce.

In the national capital, gold of 99.9 per cent and 99.5 per cent purity rebounded by Rs 50 each to Rs 31,900 and Rs 31,750 per 10 grams, respectively. The precious metal had shed Rs 250 on Friday.

Sovereign, however, remained flat at Rs 24,600 per piece of eight grams.

Silver ready staged a strong comeback by surging Rs 550 to Rs 39,800 per kg and weekly-based delivery rose by Rs 430 to Rs 39,275 per kg.

Silver coins, however, continued to be traded at the previous level of Rs 73,000 for buying and Rs 74,000 for selling of 100 pieces.