Gold prices fall by Rs150 on global cues, muted demand

New Delhi-India (Feb 1)   Snapping its two-day rising streak, gold prices drifted lower by Rs150 to Rs31,250 per 10 grams at the bullion market on Thursday, largely on weak global trend amid slackened demand from local jewellers.

However, silver prices advanced by Rs100 to Rs40,300 per kg on increased offtake by industrial units and coin makers.

Sentiments took a hit as the yellow metal weakened overseas after the US Federal Reserve left interest rates unchanged and demand from local jewellers and retailers fell in the domestic spot market, bullion traders said.

Globally, gold rate fell 0.42% to $1,339.40 an ounce and silver by 0.55% to $17.21 an ounce in Singapore.

In the national capital, gold of 99.9% and 99.5% purity fell by Rs150 each to Rs31,250 and Rs31,100 per 10 gram, respectively. The precious metal had gained Rs280 in last two days. Sovereign, however, remained flat at Rs24,800 per piece of 8 grams.

On the other hand, silver ready rose further by Rs100 to Rs40,300 per kg and weekly-based delivery by Rs130 to Rs39,440 per kg. Silver coins continued to trade at previous level of Rs74,000 for buying; and Rs75,000 for selling of 100 pieces.

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