Diwali to drive gold sales

Hyderabad (NVS): Even as in the international market, the yellow metal remained more or less steady following the optimism among investors of smart recovery in the near future, here at home, market zoomed upward with the tempo of Diwali festival set in. The lowering of the inflation and increased inflow of foreign exchange in recent times, have fueled optimism in the market. In coming days trade volumes are expected to rise if not the price of gold. Silver moved within a narrow margin and trade volumes increased substantially during the week. More business is still on cards as the Diwali festival approaches nearer in the next week.

In the local jewellery market, standard gold (24 carats) moved up by Rs 240 from the previous week's closing mark of Rs 27,330 per 10 gms and closed at Rs 27,570. Ornamental gold too moved up in tandem and was quoted in the range of Rs 26,920-27,020 per 10 gms. Silver (0.999), on the other hand, remained more or less steady and finally closed at Rs 38,650 per kg or Rs 50 lower. In the next week as festivals approach nearer, both the precious metals are likely to firm up further in view of the increased demand.