Gold falls on weak global cues; silver marginally up

Mumbai-India  (Jan 7   Gold prices dropped after a three day rally at the domestic bullion market here due to reduced buying by stockists and retailers amidst sluggish overseas sentiment.

In contrast, silver firmed up further owing to higher industrial offtake.

Standard gold (99.5 purity) shed by Rs. 90 to conclude at Rs. 27,090 per 10 grams from overnight closing level of Rs. 27,180.

Pure gold (99.9 purity) also went down by a similar margin to settle at Rs. 27,240 per 10 grams from Rs. 27,330 previously.

Silver (.999 fineness), however moved up by Rs. 25 to end at Rs. 37,770 per kg compared to Rs. 37,745 yesterday.

In worldwide trade, the yellow—metal pulled back modestly, taking a breather after rallying to three—weeks high amid investors caution ahead of the US Federal Reserve’s December meeting minutes release later in the day.

Meanwhile, safe—haven demand in the midst of global economic worries amid uncertainty over Greece’s future in the euro zone and sliding equities, capped the fall.

Spot gold was substantially higher at $1,209.00 an ounce in early European trading after hitting a daily peak of $1,211.80.

Source: BusinessLine