Gold and silver surge on seasonal demand

MUMBAI-INDIA (Oct 17)  Gold and silver prices surged for the second straight day on Thursday on sustained buying by stockists for the ongoing festival and marriage season amid firm global trend.

The yellow metal surged by Rs. 420 to Rs. 31,620 per ten gram in continuation of a jump of Rs. 650 yesterday, while silver shot up by Rs. 1,125 to Rs. 48,425 per kg, after gaining Rs. 230 in the previous session.

Traders said sustained buying by stockists to meet the ongoing festival and marriage season demand mainly gathered momentum in precious metals prices.

Firm global trend on speculation that some buyers will take advantage of lower prices also bolstered the sentiment, they said.

Gold in London, which normally sets price trend on the domestic front, jumped 0.8 per cent to $1,292.44 an ounce.

On the domestic front, gold of 99.5 per cent purity surged further by Rs 420 to Rs. 31,420 per ten gram, respectively. Sovereign followed suit and gained Rs. 100 to Rs. 25,200 per piece of eight gram.

In line with a general firm trend, weekly-based delivery of silver climbed up by Rs 175 to Rs 48,125 per kg.

Silver coins also flared up by Rs. 1,000 to Rs. 86,000 for buying and Rs. 87,000 for selling of 100 pieces.