Gold gains Rs 350, silver Rs 500 on festive demand

New Delhi, Oct 3: Both gold and silver moved up today (Oct 3) on buying by stockists and jewellers to meet the festival demand, amid a firming trend in Asia. While gold prices surged by Rs 350 to Rs 26,990 per 10 grams, silver rose by Rs 500 to Rs 53,500 per kg.

Trading sentiment turned better as gold advanced in Asia on concerns that Europe's sovereign-debt crisis may not be contained, spurring investors to buy the metal to guard their wealth against a potential slowdown in the global economy.

In Singapore, gold climbed 1.4 per cent to USD 1,647.35 an ounce, while silver jumped 3.2 per cent to USD 30.87 an ounce.

In addition, pick-up in the demand for the precious metals' during the ongoing Navratras and approaching Diwali further bolstered the trading sentiment.

On the domestic front, gold of 99.9 and 99.5 per cent purity shot up by Rs 350 each to Rs 26,990 and Rs 26,850 per 10 grams, respectively.

Sovereigns followed suit and rose by Rs 200 to Rs 21,900 per piece of eight grams.

Similarly, silver ready rose by Rs 500 to Rs 53,500 per kg and weekly-based delivery gained Rs 870 to Rs 52,000 per kg. Silver coins also spurted by Rs 3,000 to Rs 61,000 for buying and Rs 62,000 for selling of 100 pieces.

PTI