Gold edges higher amid Dhanteras buying

Gold prices firmed up further in the domestic bullion market here today due to better offtake from jewellery-makers and retailers as well as symbolic auspicious purchase on the occasion of "Dhanteras". Elsewhere, silver also gained on higher industrial demand.

Standard gold (99.5 purity) rose by Rs 85 to finish at Rs 27,400 per 10 grams compared to Monday's level of Rs 27,315. Pure gold (99.9 purity) also moved up by a similar margin to end at Rs 27,550 per 10 grams from Rs 27,465.

Silver (.999 fineness) added by Rs 40 to settle at Rs 39,685 per kg against Rs 39,645 yesterday.

Globally, the yellow-metal rebounded sharply to a five-week high on a safe-haven buying amid speculation over weaker than expected global economic growth may force the Federal Reserve to delay interest-rate increases. Spot gold bid higher at US $1,250.90 an ounce in early European trade.