Gold prices trade above Rs31,500, but silver headed for losses

New Delhi-India (Sept 30)  Rising for the second straight day, gold prices climbed Rs 175 to Rs 31,525 per 10 grams today, lapping up positive global cues amid increased buying by jewellers in the domestic spot market.

However, silver declined by Rs 50 to Rs 45,500 per kg on lack of buying support from industrial units and coin makers.

Traders said sentiment turned positive after gold gained in global markets as rising investor concerns over Deutsche Bank's finances spurred a sell-off in equities, which helped underpin demand for safe haven of gold.

Globally, gold rose 0.4 per cent to $1,325.45 an ounce in Singapore.

Furthermore, increased buying by jewellers in the domestic spot market supported the upmove, they said.

In the national capital, gold of 99.9 per cent and 99.5 per cent purity surged Rs 175 each to Rs 31,525 and Rs 31,375 per 10 grams, respectively. The precious metal had gained Rs 50 yesterday.

Sovereign, however, remained unchanged at Rs 24,500 per piece of eight grams.

On the other hand, silver ready fell by Rs 50 to Rs 45,500 per kg while weekly-based delivery lost Rs 145 to Rs 45,725 per kg.

Silver coins remained flat at Rs 77,000 for buying and Rs 78,000 for selling of 100 pieces.

Source: BusinessEconomic