Gold prices drop by Rs165 on global cues

New Delhi-India (Mar 18)  Extending losses for the third straight session, gold prices fell by Rs165 to trade at over four-month low of Rs26,000 per 10 grams at Delhi bullion market on Wednesday amid a weakening global trend and subdued demand from jewellers.

Marketmen said besides low demand from jewellers, sustained weakness in the precious metals overseas, where gold fell to the lowest level in nearly three months ahead of the US Federal Reserve’s meet outcome, pulled down gold prices.

Gold in Singapore, which normally determines price trend on the domestic front, traded a shade lower at $1,148.99 an ounce and silver by 0.2% to $15.53 an ounce.

In Delhi, gold of 99.9 and 99.5% purity fell by Rs165 each to Rs26,000 and Rs25,850 per 10 grams, respectively. Sovereign held steady at Rs23,600 per piece of eight grams in scattered deals.

In line with gold, silver ready dropped by Rs250 to Rs35,400 per kg and weekly-based delivery rose by Rs155 to Rs35,520 per kg. Silver coins plunged by Rs1,000 to Rs54,000 for buying and Rs55,000 for selling of 100 pieces.

Source: LiveMint