Gold rises by Rs 275 to Rs 26,600 per ten grams

Snapping its two-day losing streak, gold on Thursday rose by Rs 275 to Rs 26,600 per ten grams, tracking a firming trend overseas amidst renewed buying interest from jewellery traders and retailers.

Silver also rallied by Rs 1,000 to Rs 35,700 per kg on strong demand from industrial units and coin makers.

A firm global trend where gold traded at almost one-week high after a report showed US consumer prices fell, easing concern that Federal Reserve policy makers will raise rates for the first time since 2006 when they end a two-day meeting later today, mainly boosted the sentiments here.

Globally, the yellow metal rose 0.2% to $1,121.34 an ounce in Singapore.

Besides, pickup in buying by jewellers to meet wedding season demand supported the upside, they said.

In the national capital, gold of 99.9 and 99.5% purity climbed Rs 275 each to Rs 26,600 and Rs 26,450 per ten grams, respectively.

Sovereign followed suit and gained Rs 100 to Rs 22,200 per piece of eight grams.

Tracking gold, silver ready surged by Rs 1,000 to Rs 35,700 per kg and weekly-based delivery by Rs 1,195 to Rs 35,800 per kg.

Silver coins surged by Rs 1,000 to Rs 50,000 for buying and Rs 51,000 for selling of 100 pieces.