Gold, silver zoom on seasonal demand, global cues
Gold prices surged by Rs. 305 to Rs. 31,930 per ten gram in the national capital on Wednesday on brisk buying by stockists and jewellers to meet the rising seasonal demand amid strong global trend.
Silver too zoomed by Rs. 1,190 to Rs. 50,200 per kg on increased offtake by industrial units and coin makers for coming festivals led by Diwali and ongoing marriage season.
Traders said brisk buying by stockists and jewellery fabricators to meet the rising festive and wedding demand mainly led an upsurge in gold and silver prices.
Silver and gold coins, which are normally used for pooja on Diwali and gifting purpose during marriage celebrations, remained in keen demand.
Firm global trend after payrolls in the US climbed, increasing speculation the Federal Reserve will maintain monetary stimulus to boost the economy, also influenced the sentiment, they said.
Gold in New York, which normally sets price trend on the domestic front, climbed 2 per cent to $1,342.60 an ounce, nearing the highest level since September 30. Silver also climbed 2.3 per cent to $22.79 an ounce.
On the domestic front, gold of 99.9 and 99.5 per cent purity surged by Rs. 305 each to Rs. 31,930 and Rs. 31,730 per ten gram, respectively, while sovereign held steady at Rs. 25,300 per piece of eight gram.
In a similar fashion, silver ready surged by Rs. 1,190 to Rs. 50,200 per kg and weekly-based delivery by Rs. 700 to Rs. 50,000 per kg. However, silver coins held steady at Rs. 87,000 for buying and Rs. 88,000 for selling of 100 pieces.