Gold falls further on increased selling, global cues

Gold and silver fell further in the national capital today on heavy selling by stockists in tune with a weakening global trend.

While gold fell by Rs 165 to Rs 29,985 per ten grams, silver lost Rs 515 to Rs 54,750 per kg on poor demand and heavy selling by stockists.

Traders said selling by stockists in tandem with a weakening global trend influenced the sentiment.

In New York, gold fell by USD 16.80 to USD 1579.50 an ounce while silver dipped by 1.62 per cent to USD 28.51 an ounce.

Besides, poor domestic demand due to off-marriage season further fuelled the downtrend.

On the domestic front, gold of 99.9 and 99.5 per cent purity remained under selling pressure and surrendered further ground by losing Rs 165 each to Rs 29,985 and Rs 29,785 per ten grams, respectively. It had lost Rs 180 yesterday.

However, sovereign remained steady at Rs 25,300 per piece of eight gram in restricted buying.

In a similar fashion, silver ready dropped further by Rs 515 to Rs 54,750 per kg and weekly-based delivery by Rs 840 to Rs 53,160 per kg. The white metal had lost Rs 335 in the previous session. Silver coins too plunged by Rs 1,000 to Rs 82,000 for buying and Rs 83,000 for selling of 100 pieces.