Gold, silver extend losses on subdued demand, global cues

New Delhi-India (Feb 21)  Extending losses for the second straight day, gold prices on Saturday shed another Rs 10 to Rs 27,190 per ten gram at the bullion market due to slackened demand from jewellers and retailers amid weak global trend.

Silver followed suit and traded lower by Rs 315 to Rs 36,885 per kg on reduced offtake by industrial units and coin makers.

Traders said besides easing demand from jewellers and retailers, a weakening global trend amid Greece and European finance ministers reaching an accord on a bailout extension eroded demand for the precious metal as a safe haven, thus keeping pressure on precious metals.

Gold in New York, which normally sets price trend on the domestic front, fell to USD 1,197.70 an ounce.

In the national capital, gold of 99.9 and 99.5 per cent purity declined by Rs 10 each to Rs 27,190 and Rs 26,990 per ten gram respectively. It had lost Rs 85 on Friday.

Sovereign, however, remained flat at Rs 23,700 per piece of eight gram.

Silver ready declined by Rs 315 to Rs 36,885 per kg and weekly-based delivery by Rs 300 to Rs 36,265 per kg.

Silver coins dropped by Rs 1,000 to Rs 59,000 for buying and Rs 60,000 for selling of 100 pieces.

Source: TheHindu