Gold, silver extend losses on weak global cues, low demand

Gold prices plunged by Rs 345 to Rs 26,050 per ten gram in the national capital on Tuesday, tracking a weak global trend amid absence of demand from jewellers and retailers at domestic markets.

Silver remained under pressure and fell by Rs 350 to Rs 35,150 per kg on poor offtake by industrial units. Sentiments remained subdued largely in tandem with a weak trend in global markets where gold traded at a four-year low as surging dollar waned demand for the precious metals, traders said.

Besides, slackened demand from jewellers as well as retailers at prevailing levels at domestic spot markets too weighed on prices, they added. Globally, gold in Singapore, which normally sets price trend on the domestic front, fell by 0.16 % to $ 1,149 an ounce, a lowest level since 2010. Silver also slid 0.7 % to $15.50 an ounce.

In Delhi, gold of 99.9 and 99.5 % purity tumbled by Rs 345 each to Rs 26,050 and Rs 25,850 per ten gram respectively. It had lost Rs 55 on Tuesday's trade. Sovereign also declined by Rs 100 to Rs 23,700 per piece of eight gram.

In a similar fashion, silver ready dropped further by Rs 350 to Rs 35,150 per kg and weekly-based delivery by Rs 535 to Rs 34,490 per kg.

Silver coins also fell sharply by Rs 2,000 to Rs 58,000 for buying and Rs 59,000 for selling of 100 pieces.