Gold dips below 27,000-level on low demand

Mumbai-India (Feb 24)  Falling for the fourth day, gold prices dipped below the Rs. 27,000-mark by losing another Rs. 100 to trade at a 10-week low of Rs. 26,970 per ten gram at the bullion market on Tuesday owing to sluggish demand from jewellery makers amid a weakening global trend.

Silver, however, recovered by Rs. 50 to Rs. 36,800 per kg on scattered buying by industrial units and coin makers. Bullion traders said persistent fall in the gold prices was mostly attributed to easing demand from jewellers and retailers and a weakening global trend.

Gold in Singapore, which normally sets price trend on the domestic front, traded lower by 0.32 per cent, to $1,197.90 an ounce. In the national capital, gold of 99.9 and 99.5 per cent purity fell further by Rs. 100 to Rs. 26,970 and Rs. 26,770 per ten gram respectively, a level last seen on December 9.

The precious metal has now lost Rs. 315 in the four consecutive days. Sovereign, however, held steady at Rs. 23,600 per piece of eight gram.

On the other hand, silver ready recovered by Rs. 50 to Rs. 36,800 per kg and weekly-based delivery by Rs. 105 to Rs. 36,245 per kg. Meanwhile, silver coins traded at last level of Rs. 58,000 for buying and Rs. 59,000 for selling of 100 pieces.

Source: TheHindu