Gold falls from record high to Rs23,120, silver sheds Rs800

Snapping a five-day gaining streak, gold prices moved down by Rs100 to Rs23,120 per 10 grams today due to sluggish demand at existing high levels and weak global cues.

The yellow metal had climbed to an all-time high of Rs23,120 yesterday.

In line with a general weakening trend, silver declined by Rs800 to Rs56,500 per kg on reduced off-take by industrial units and coin makers.

Silver coins followed suit and tumbled by Rs1,500 to Rs61,500 for buying and Rs 62,000 for selling of 100 pieces.

Traders said gold prices declined after the precious metal fell by $7.60 to $1,579.40 an ounce overseas. Local customers also refrained from buying at prevailing high levels, which further dampened the trading sentiment to some extend.

In addition, profit selling by speculators, who indulged in liquidating their positions, to cover heavy losses in other financial markets, led to the down fall in the metals' prices, traders said.

In the global markets, silver also declined by 0.21% to $38.11.

On the domestic front, gold of 99.9 and 99.5% purity slipped by Rs100 each to Rs23,120 and Rs23,000 per 10 grams, respectively.

Sovereigns held steady at Rs18,850 per piece of eight grams.

Similarly, silver ready dropped by Rs800 to Rs56,500 per kg and weekly-based delivery shed Rs1,260 to Rs56,700 per kg. The metal had gained Rs2,300 in the previous session.