Gold, silver crashes on bearish global advice

Mumbai, May 18 (UNI) After yesterday's rise in the values of spot gold and silver, today it crashed majorly by by Rs 325 per ten gm in gold and Rs 725 per kg in silver on sustained heavy selling pressure from local and global markets, traders at the bullion market today said.

Standard gold (99.5 purity) and pure gold (99.9 purity) opened weak this morning at Rs 10,105 and Rs 10,155 per 10 gm, respectively, on poor demand.

Both the yellow metals closed lower at Rs 10,180 and Rs 10,230 per ten gm with a huge loss of Rs 320 for standard gold and Rs 325 for pure gold from their yesterday's close.

There was increase of stock supply along with bearish advice from international markets. There was poor demand from jewellers.

Reports from abroad says that gold fell on Thursday as the US dollar found support with expectations of more interest rate increases, raising fears the metal's bull run may be coming to an end.

In London too, gold was quoted low at USD 684/687 per troy ounce against the previous close of USD 690/708 per troy ounce in New York on Wednesday.

Silver .999 fineness variety also opened downwards at Rs 20,100 per kg on poor demand. Later, it closed low at Rs 20,310 per kg with a massive loss of Rs 725 from its previous close.

There was lack of fresh demand from jewellery-makers on due to discouraging advice from overseas market.

In London, the white metal was quoted low at US dollar 13.15/13.20 per troy ounce against USD 13.80/14.05 per troy ounce in New York on Monday, which remained weak in the domestic prices, traders added.

Following were the spot silver and gold closing prices today: Silver (per kg) .999 grade : Rs 20,310 (Rs 21,035), Gold (per 10 gm): Standard mint 99.5 purity : Rs 10,180 (Rs 10,500), Pure gold 99.9 purity : Rs 10,230 (Rs 10,555).

UNI VD-AR MJ NV1825