Gold prices fell by Rs 110 to Rs 33,060 per 10 gram Wednesday, registering its second day of decline amid muted domestic demand, according to the All India Sarafa Association. Silver, on the other hand, gained Rs 20 to Rs 39,120 per kg following increased demand from industrial units and coin makers. Bullion traders said muted demand in the domestic market led to the fall in prices of the yellow metal. Tapan Patel, senior research analyst (commodities), HDFC Securities, said global bullion prices traded steady on Wednesday after witnessing marginal correction on Tuesday. In the international market, gold was trading at USD 1,315.61 an ounce and silver was at USD 15.42 an ounce in New York.
"The weak US data on Tuesday also limited downside in gold prices. The US 10-year bond yield declined to 2.41 per cent down from 2.44 per cent on Tuesday morning. The gold holdings at SPDR ETF rose to 784.26 tonnes from previous 781 tonnes signalling safe haven demand," said Patel. In the national capital, gold of 99.9 per cent and 99.5 per cent purities fell by Rs 110 each to Rs 33,060 and Rs 32,890 per 10 gram, respectively. Gold had shed Rs 50 to Rs 33,170 per 10 gram Tuesday. Sovereign gold, however, remained unaltered at Rs 26,400 per piece of eight gram. The price of silver ready gained Rs 20 to Rs 39,120 per kg, while weekly-based delivery fell by Rs 82 to Rs 38,283 per kg. Silver coins, however, remained unchanged at Rs 80,000 for buying and Rs 81,000 for selling of 100 pieces.