Gold dips below 27000 level on low demand, global cues

Gold dips below 27000 level on low demand, global cues, falling for the fourth day, gold prices dipped below the Rs 27,000 mark by losing another Rs 100 to trade at a 10-week low of Rs 26,970 per ten gram at the bullion market today owing to sluggish demand from jewellery makers amid a weakening global trend.

Silver, however, recovered by Rs 50 to Rs 36,800 per kg on scattered buying by industrial units and coin makers.

Bullion traders said persistent fall in the gold prices was mostly attributed to easing demand from jewellers and retailers and a weakening global trend. Gold in Singapore, which normally sets price trend on the domestic front, traded lower by 0.32 per cent, to USD 1,197.90 an ounce.

In the national capital, gold of 99.9 and 99.5 per cent purity fell further by Rs 100 to Rs 26,970 and Rs 26,770 per ten gram respectively, a level last seen on December 9.

The precious metal has now lost Rs 315 in the four consecutive days. Sovereign, however, held steady at Rs 23,600 per piece of eight gram.On the other hand, silver ready recovered by Rs 50 to Rs 36,800 per kg and weekly-based delivery by Rs 105 to Rs 36,245 per kg. Meanwhile, silver coins traded at last level of Rs 58,000 for buying and Rs 59,000 for selling of 100 pieces.