Gold prices edge Rs 140 up on global cues, jewellers' buying

Mumbai-India (Jun 14)  Powered by a firm global trend and persistent buying by jewellers at the domestic spot market, gold prices climbed for the sixth straight day on Tuesday, gaining Rs 140 to Rs 29,800 per ten grams at the bullion market on Tuesday.

Silver also rebounded by Rs 260 to Rs 41,260 per kg due to increased offtake by industrial units and coin makers.

Analysts said a firming global trend where gold climbed to the highest in four weeks as uncertainty mounts over whether Britain will exit the European Union and speculations that the US Fed will keep interest rates unchanged at its two-day meeting that begins later in the day buoyed sentiment here.

Globally, gold rose 0.82 per cent to $1,283.80 an ounce - its highest since May 16 - and silver by 0.72 per cent to $17.41 an ounce in New York on Monday.

Furthermore, persistent buying by jewellers at the domestic spot market added to the upside.

The Indian rupee turning weak against the dollar that made the imports costlier influenced the precious metals.

In the national capital, gold of 99.9 per cent and 99.5 per cent purity surged Rs 140 each to Rs 29,800 and Rs 29,650 per ten grams, respectively. It had gained Rs 630 in the last five days.

Sovereign, however, shed Rs 100 at Rs 23,000 per piece of eight grams.

Tracking gold, silver ready recovered Rs 260 to Rs 41,260 per kg and weekly-based delivery by Rs 55 to Rs 41,185 per kg.

Silver coins too spurted by Rs 1,000 to Rs 70,000 for buying and Rs 71,000 for selling of 100 pieces.

Source: TheHindu