Gold trading still weary

New Delhi-India  (July 15)  Gold prices maintained its bearishness for the third week in a row, dropping below the key Rs 28,000-mark at the domestic bullion market on the back of subdued demand from stockists and traders, even as the metal strengthened overseas.

Traders said sluggish demand from local jewellers and retailers at domestic market mainly kept gold prices lower.

The yellow-metal shed a whopping 3.26 per cent in its third week downslide, or Rs 930 per 10 grams.

Elsewhere, silver also witnessed a second week fall, on sustained speculative selling by stockists and investors coupled with lack of demand from industrial users.

The white-metal plunged 6.69 per cent in its second weekly fall, or Rs 2,590 per kg.

In worldwide trade, Gold prices marked the highest finish of the month and their first weekly rise since early June, as data on retail sales and inflation stoked concerns that the pace of economic growth may not merit lifting US interest rates again in 2017.

Gold for August delivery rose USD 10.20, or 0.8 per cent, to settle at USD 1,227.50 an ounce. That was the highest finish since June 30 and the strongest single-session climb since June 6. Prices logged a roughly 1.5 per cent weekly gain, after posting losses in each of the past five weeks, based on the most-active contracts.

In other trading, silver for September rose 24.2 cents, or 1.5 per cent, to USD 15.933 an ounce, for a 3.7 per cent weekly gain. (MORE)

Source: DNA