Gold declines by Rs65, silver gains Rs100

A divergent trend emerged on the bullion market today as gold prices fell by Rs65 to Rs20,340 per 10 grams largely in line with a weak global trend, while silver strengthened by Rs100 to Rs44,900 per kg on increased buying by industrial units.

The gold sentiment turned bearish after the precious metal in Asia declined on speculations of global economic recovery, curbing demand for the precious metal as an alternative investment option.

Gold in global market which normally sets the price trend on the domestic front, fell by 0.2% to $1,346.32 an ounce.

In the national capital, gold of 99.99 and 99.5% purity traded Rs 65 each lower at Rs20,340 and Rs20,220 per 10 grams respectively, while sovereign remained steady at Rs16,800 per piece of eight grams.

On the other hand, silver ready continued to rise and gained Rs100 more to Rs44,900 per kg and weekly-based delivery by Rs45 to Rs44,575 per kg on the back of industrial demand.

Silver coin followed suit and traded higher by Rs100 to Rs48,800 for buying and Rs 48,900 for selling of 100 pieces.