Gold, silver fall on eve of Diwali

Mumbai-India (Oct 22)  After two days of gains, gold prices fell by Rs 75 to Rs 27,850 per ten grams on the eve of Diwali in the national capital today owing to slackened demand from jewellers and retailers at existing higher levels amid a weak trend overseas.

 Silver also eased by Rs 100 to Rs 38,900 per kg on lack of buying support from industrial units.

 Traders said sentiment turned bearish due to fall in demand at prevailing levels from jewellers and retailers at existing higher levels and a weak trend overseas where it slipped from six-week high, mainly led to the fall in precious metals.

 Besides, shifting of funds by investors toward surging equity market and strengthening rupee against the dollar also influenced sentiment, they said.

 In Delhi, gold of 99.9 and 99.5 per cent purity declined by Rs 75 each to Rs 27,850 and Rs 27,650 per ten gram respectively. It had lost Rs 225 in the last two sessions.

 Sovereign, however, remained stable at Rs 24,300 per piece of eight gram in restricted buying.

 Globally, gold prices slipped by 0.26 per cent to USD 1,246.20 an ounce in early trade in London.

 In overall trend, silver ready moved down by Rs 100 to Rs 38,900 per kg and weekly-based delivery by Rs 415 to Rs 38,300 per kg.

 Meanwhile, silver coins continued to be asked at last level of 69,000 for buying and Rs 70,000 for selling of 100 pieces.

Source: BusinessStandard.in