Gold recovers on wedding season demand, global cues

New Delhi-India (Feb 13)  After falling for two days, gold prices recovered by Rs 40 to Rs 27,670 per ten gram at the bullion market on Friday largely supported by wedding season buying from jewellers and retailers amid a firm global trend.

Silver also rebounded by Rs 450 to Rs 38,100 per kg on increased offtake by industrial units and coin makers.

Bullion merchants said besides increased buying by jewellers and retailers, triggered by wedding season, a firm global trend as falling retail sales in the US cast doubt on the pace of growth in the world’s largest economy, boosting demand for a safe haven, mainly led to a rise in gold prices in New Delhi.

Gold in Singapore, which normally determine price trend on the domestic front, advanced 0.8 per cent to $1,231.26 an ounce and silver gained 0.9 per cent to USD 17.00 an ounce.

In the national capital, gold of 99.9 and 99.5 per cent purity recovered by Rs 40 each to Rs 27,670 and Rs 27,470 per ten gram respectively.

The metal had lost Rs 250 in the previous two sessions.

Sovereign moved up by Rs 50 to Rs 23,800 per piece of eight gram.

In line with overall trend, silver ready rebounded by Rs 450 to Rs 38,100 per kg and weekly-based delivery by Rs 460 to Rs 37,640 per kg.

Silver coins, however, traded at last level of Rs 62,000 for buying and Rs 63,000 for selling of 100 pieces.

Source: Rediff