Gold and silver prices crash on weak global advice

Mumbai, May 22 (UNI) Values of spot gold crashed by Rs 200 per 10 gm while that of silver by Rs 490 per kg on sluggish demand from local and global markets, traders at the bullion market today said.

Standard gold (99.5 purity) and pure gold (99.9 purity) resumed weak this morning at Rs 9,605 and Rs 9,655 per 10 gm, respectively, on very thin demand from jewellers.

Both the yellow metals closed still lower at Rs 9,580 and Rs 9,635 per ten gm, with a huge loss of Rs 200 each from their Saturday's close.

There was poor demand from jewellers with bearish advice from international markets.

Reports from abroad said gold fell more than an ounce on Monday after the dollar rose, encouraging some investors to switch out of precious and base metals In London, too, gold was quoted low at USD 645.30/646.50 per troy ounce against the previous close of USD 650/659 per troy ounce in New York on Friday.

Silver .999 fineness variety also opened downwards at Rs 18,730 per kg on weak advice. Later, it closed still lower at Rs 18,880 per kg with a massive loss of Rs 490 from its previous close.

There was sustained heavy selling pressure from stockists due to discouraging advice from overseas market.

In London, the white metal was quoted low at US dollar 12.15/12.27 per troy ounce against USD 12.48/12.50 per troy ounce in New York on Friday, 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 18,880 (Rs 19,370), Gold (per 10 gm): Standard mint 99.5 purity : Rs 9,580 (Rs 9,780), Pure gold 99.9 purity : Rs 9,635 (Rs 9,835).

UNI VD/AR GK VKG1800