Precious metals melt on weak global cues, sluggish demand

New Delhi, Jan 25 (PTI) Both the precious metals, goldand silver, fell on heavy selling by stockists in the bullionmarket today triggered by weak global trends, amid sluggishdemand at prevailing high levels.

While silver plunged by Rs 1,550 to Rs 41,800 per kg,gold lost Rs 270 to end at Rs 20,140 per 10 grams.

Gold in global markets, which normally sets a pricetrend on the domestic front, lost 0.3 per cent to USD 1,330.22an ounce, its lowest level since November 16.

Besides, considerable fall in demand at existing higherlevels also influenced the trading sentiment to some extent.

On the domestic front, silver ready suffered by a setbackof Rs 1,550 to Rs 41,800 per kg and weekly-based delivery byRs 1,700 to Rs 41,500 per kg. Silver coins followed suit anddropped by Rs 500 to Rs 48,000 for buying and Rs 48,100 forselling of 100 pieces.

In line with a general weakening trend, gold of 99.9 and99.5 per cent purity plunged by Rs 270 each to Rs 20,140 andRs 20,020 per ten grams, while sovereign, lost Rs 50 to Rs16,750 per piece of eight grams.