Gold falls by Rs 100 on reduced offtake, global cues

New Delhi, Feb 12 (PTI) Both the precious metals, goldand silver drifted on the bullion market today on reducedofftake by stockists at existing higher levels, amid weakeningglobal trends.

While gold fell by Rs 100 to Rs 20,520 per 10 grams,silver dropped by Rs 300 to Rs 45,800 per kg.

Trading sentiment turned bearish after gold fell from athree-week high in global markets as advancing dollar againstleading currencies eroded demand for the precious metals as analternative asset.

Gold in global markets, which normally sets a price trendon the domestic front, fell by USD 6.70 to USD 1356.80 anounce and silver by 0.99 per cent to USD 29.91 an ounce.

Retail customers refraining from purchasing gold atexisting higher levels also dampened the trading sentiment,they said.

On the domestic front, gold of 99.9 and 99.5 per centpurity fell by Rs 100 each to Rs 20,520 and Rs 20,400 per 10grams, respectively. The metal had gained Rs 120 in theprevious trading session.

Sovereign continued to be asked around previous level ofRs 16,900 per piece of eight grams.

In line with a general weakening trend, silver readydropped by Rs 300 to Rs 45,800 per kg and weekly-baseddelivery by Rs 205 to Rs 45,510 per kg.

However, silver coins maintained previous levels of Rs50,300 for buying and Rs 50,400 for selling of 100 pieces. PTIRS SUN KPS