Gold rallied by Rs 100 to Rs 31,550 per 10 gram at the bullion market Monday on fresh buying by local jewellers, ignoring a weak trend overseas. Besides, a depreciating rupee against the dollar, making imports costlier, aided the uptrend. Silver eased by Rs 50 to Rs 38,100 per kg due to reduced offtake by industrial units and coin makers. Marketmen said the uptick in gold prices was due to pick up in buying by local jewellers at domestic spot market, though a weak trend overseas capped the rise. Globally, gold fell 0.13 per cent to USD 1,197.20 an ounce in Singapore as the dollar held firm on news that China has cancelled the upcoming trade talks with the US, with the market also eyeing this week's US Federal Reserve meeting for guidance on future rate hikes.
In the national capital, gold of 99.9 per cent and 99.5 per cent purity rebounded by Rs 100 each to Rs 31,550 and Rs 31,400 per ten gram, respectively. It had lost Rs 250 in Saturday's trade. Sovereign however remained steady at Rs 24,500 per piece of eight gram. On the other hand, silver ready declined by Rs 50 to Rs 38,100 per kg and weekly-based delivery by Rs 65 to Rs 37,525. Silver coins however continued to be traded at the previous level of Rs 72,000 for buying and Rs 73,000 for selling of 100 pieces.