Gold prices dropped by Rs 310 to Rs 30,290 per ten grams in the capital city Delhi today on heavy sell-by stockists and a weak global trend.
Silver also fell by Rs 900 to Rs 43,600 per kg on poor extraction of industrial units and coin makers amid a sharp drop in the international markets.
A similar tendency weakening was also witnessed in Mumbai, as gold 99.9 and 99.5 per cent purity fell by Rs 160 each to Rs 30,100 and Rs 29,950 per ten grams respectively. In addition, silver fell by Rs 600 to Rs 44,450 per kg.
Traders said there strong sales by stockists triggered by weak global trend as signs of faster economic growth cuts monetary stimulus in the future, especially metal prices fell.
Gold in New York, which normally set price trend on the home front, sunk by 1.94 percent to $ 1243.10 an ounce and silver by 2.92 per cent to USD 19.14 an ounce.
Furthermore, the strengthening of the rupee against the dollar, which makes imports cheaper precious metals valued dollar further dampened sentiment, they said.
Domestically, gold of 99.9 and 99.5 percent purity suffered a setback of Rs 310 each for Rs 30,290 and Rs 30,090 per ten grams respectively. Sovereign held steady at Rs 25,250 per piece of eight grams.
A similar tendency, silver ready dropped by Rs 900 to Rs 43,600 per kg and weekly-based delivery by Rs 885 to Rs 43,315 per kg.
Silver coins held steady at Rs 86,000 for buying and Rs 87,000 for selling of 100 pieces.
Reported News Source: Economic Times