Gold prices extend gains on global cues, jeweller buying

New Delhi-India (May 24)  Gold prices maintained its upward trend for the second straight day on Thursday, climbing another Rs125 to Rs 32,125 per 10 gram at the bullion market amid positive global cues and increased buying by local jewellers.

Silver prices, however, met with resistance at prevailing higher levels and shed Rs100 to Rs41,300 per kg.

Traders said sentiment in gold remained upbeat on the back of a firming trend overseas, as the dollar extended losses after minutes of the latest Federal Reserve meeting hinted at a dovish approach to interest rate hikes in the US. Besides, persistent buying by local jewellers at domestic spot market too fuelled the uptrend, they said.

Globally, gold rate rose by 0.21% to $1,295.70 an ounce in Singapore.

In Delhi, gold of 99.9% and 99.5% purity surged by Rs125 each to Rs32,125 and Rs31,975 per 10 gram, respectively. It had gained Rs120 in Wednesday’s trade. Sovereign gold, however, remained unaltered at Rs24,800 per piece of eight gram in limited deals.

On the other hand, silver ready fell by Rs100 to Rs41,300 per kg and weekly-based delivery by Rs20 to Rs40,460 per kg. Silver coins, however, remained stable at Rs76,000 for buying and Rs77,000 for selling of 100 pieces.

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