Gold price remains weak on low demand, silver recovers

New Delhi-India (Sepot 16)  Gold prices eased further by Rs 25 to Rs 26,325 at the bullion market on Wednesday due to subdued demand from jewellers and retailers.

 However, silver recovered by Rs 200 to Rs 34,700 per kg on increased offtake by industrial units and coin makers.

 Traders said subdued demand from jewellers and retailers and overnight weakness in the precious metal globally ahead of the US Fed decision on rates kept Gold prices lower.

Globally, gold fell 0.30 per cent to USD 1,105.10 an ounce overnight in New York.

 In the national capital, gold of 99.9 and 99.5 per cent purity were down by Rs 25 each to Rs 26,325 and Rs 26,175 per ten grams, respectively.

 Sovereign, however, continued to be traded at previous level of Rs 22,100 per piece of eight gram.

 On the other hand, silver ready rebounded by Rs 200 to Rs 34,700 per kg, while weekly-based delivery fell further by Rs 95 to Rs 34,605 per kg.

 Silver coins maintained a steady trend at Rs 49,000 for buying and Rs 50,000 for selling of 100 pieces.

 Meanwhile, the government yesterday slashed the import tariff value on gold and silver to USD 359 per 10 grams and USD 470 per kg, respectively, following weak global cues.

 In the first fortnight of this month, the tariff value on imported gold was USD 369 per 10 grams and on silver it was USD 471 per kg.

 The import tariff value is the base price at which the customs duty is determined to prevent under-invoicing. The tariff value is revised on a fortnightly basis.

Source: TheHindu