Gold, silver turn weak on global cues, muted demand

Falling for the first time in six days, gold prices fell by Rs 20 to Rs 26,330 per ten grams at the bullion market on January 9, tracking a weak trend overseas amid easing demand from jewellers at prevailing levels. Similarly, silver slipped below Rs 34,000-mark by falling Rs 300 to Rs 33,800 per kg on reduced offtake by industrial units and coin makers.

A weak global trend as a buoyant US labour market and China’s move to halt a rout in stocks, cut demand for a safe-haven, mainly kept pressure on the precious metal prices. Moreover, fall in spot demand from domestic jewellers and retailers at existing level influenced sentiments, they said.

Globally, gold fell 0.41 per cent to USD 1,104.60 an ounce and silver by 2.66 per cent to USD 13.93 an ounce in New York in yesterday's trade. In the national capital, gold of 99.9 and 99.5 per cent purity shed Rs 20 each to Rs 26,330 and Rs 26,180 per ten grams, respectively. It had gained Rs 930 in the last five days.

Sovereign, however, held steady at Rs 22,400 per piece of eight grams. Tracking gold, silver ready plunged by Rs 300 to Rs 33,800 per kg and weekly-based delivery by Rs 370 to Rs 33,825 per kg. Silver coins also plummeted by Rs 1,000 to Rs 48,000 for buying and Rs 49,000 for selling of 100 pieces.