Gold falls for fourth day, down Rs 110 on global cues

Mumbai-India (Nov 28)  Silver also remained under selling pressure and traded lower by Rs 550 to Rs 36,200 per kg.

Continuing its falling streak for the fourth straight day, gold prices drifted by Rs 110 to Rs 26,670 per ten gram at the bullion market in the national capital on Friday, tracking a weakening global trend.

Silver also remained under selling pressure and traded lower by Rs 550 to Rs 36,200 per kg.

Traders said besides subdued demand from jewellers, a weak trend overseas amid falling global crude oil prices — reducing demand for an inflation hedge — mainly weighed on gold prices here.

Gold in Singapore, which normally sets price trend on the domestic front, fell 0.9 per cent to $1,181.84 an ounce and silver by 1.2 per cent to $16.05 an ounce, the lowest since November 20.

In addition, shifting of funds towards record-breaking domestic equity market, further dampened the sentiment.

In Delhi, gold of 99.9 and 99.5 per cent purity lost another Rs 110 each to Rs 26,670 and Rs 26,470 per ten gram respectively. The precious metal prices have fallen by Rs 150 in the past three days.

Sovereign also declined by Rs 100 to Rs 23,700 per piece of eight gram.

In overall weak trend, silver ready moved down by Rs 550 to Rs 36,200 per kg and weekly—based delivery by Rs 450 to Rs 35,610 per kg.

Silver coins remained under pressure and slumped by Rs 1,000 to Rs 61,000 for buying and Rs 62,000 for selling of 100 pieces.

Source:  TheHindu