Gold prices rise on Akshaya Tritiya buying

New Delhi-India (Apr 18)  Gold prices rose by Rs30 to Rs32,380 per 10 grams at the bullion market on Wednesday largely due to token buying by jewellers on the auspicious occasion of ‘Akshaya Tritiya’, but a subdued trend overseas capped the gains.

Silver prices also strengthened by Rs150 at Rs40,450 per kg largely in step with gold.

Traders said, besides token purchases by consumers on the auspicious occasion of ‘Akshaya Tritiya’, depreciating rupee against the dollar helped gold prices to trade higher. A weak rupee, which slipped to a near seven-month low against the dollar making imports costlier, too supported the upside in gold prices.

Akshaya Tritiya is considered to be an auspicious day to make purchases of valuables particularly jewellery, gold coins, diamond and other gold items.

All India Sarafa Association vice president Surinder Kumar Jain said, “Akshaya Tritiya has boosted the sales of jewellery and other gold items by almost 15% today and is expected to pick up later in the day.”

Rakesh Anand of R K Jewellers here said, “A series of offers from leading jewellery houses such as lower making charges and other incentives too attracted increased demand from consumers”. Meanwhile, gold prices have risen by over 9% since the last Akshaya Tritiya.

Globally, gold rate fell 0.18% to $1,344.80 an ounce in Singapore.

In the national capital, gold of 99.9% and 99.5% purity traded higher by Rs30 each to Rs32,380 and Rs32,230 per 10 grams, respectively. It had gained Rs350 on Tuesday. Sovereign, however, remained flat at Rs24,900 per piece of eight grams in limited deals.

In tandem with gold, silver ready rose by Rs150 to Rs40,450 per kg and weekly-based delivery by Rs250 to Rs39,490 per kg. Silver coins, however, held steady at Rs75,000 for buying and Rs76,000 for selling of 100 pieces.

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