Gold loses Rs 200, silver sheds Rs 1,000 on sluggish demand

New Delhi, Oct 18: Both gold and silver fell in the bullion market here today (Oct 18) despite the festive season, due to sluggish demand at existing higher levels amid a weakening trend in Asia. While gold fell by Rs 200 to Rs 26,990 per 10 grams, silver moved down Rs 1,000 to Rs 52,800 per kg on reduced offtake at prevailing high levels.

The decline in gold prices in Asia further dampened the trading sentiment, traders said. In Singapore, gold shed 0.5 per cent to USD 1,662.07 an ounce after reports showed that China's economy grew at the slowest pace in two years and Germany said European Union leaders might fail to provide a fast resolution to the region's debt crisis.

Silver also dropped by one per cent to USD 31.50 an ounce in Singapore. On the domestic front, gold of 99.9 and 99.5 per cent purity fell by Rs 200 each to Rs 26,990 and Rs 26,850 per 10 grams, respectively.

Sovereigns followed suit and shed Rs 50 to Rs 22,000 per piece of eight grams. Likewise, silver ready fell by Rs 1,000 to Rs 52,800 per kg and weekly-based delivery by Rs 950 to Rs 52,350 per kg. Silver coins tumbled by Rs 2,000 to Rs 60,000 for buying and Rs 61,000 for selling of 100 pieces.

PTI