Gold gives up more, down Rs 190 after dollar's strength

A sluggish overseas trend and softness in local demand kept gold prices lower for the second day on the trot, which fell Rs 190 to Rs 29,060 per 10 grams today. Silver too declined by Rs 150 to Rs 42,150 per kg, reflecting a reduced offtake from industrial units and coin makers.

The weak global pricing of the yellow metal had mostly to do with the rising strength of the dollar which dims the former's safe haven appeal. Demand from jewellers and retailers at the domestic spot market was not forthcoming either.

Globally, gold prices fell 0.10 per cent to USD 1,241.20 an ounce in Singapore. In the national capital, gold of 99.9 per cent and 99.5 per cent purity slumped by Rs 190 each to Rs 29,060 and Rs 28,910 per 10 grams, respectively.

The precious metal had lost Rs 300 yesterday. Sovereign, however, held steady at Rs 24,400 per piece of eight grams. Following gold, silver ready sank Rs 150 to Rs 42,150 per kg and weekly-based delivery by Rs 215 to Rs 42,005. Silver coins, however, continued to be traded at previous level of Rs 71,000 for buying and Rs 72,000 for selling of 100 pieces.