Gold, silver extend losses on poor demand, weak global cues

New Delhi, Aug 3: Both the precious metals, gold and silver, extended losses for the second straight day in the national capital today, following poor demand at prevailing higher levels coupled with a weak global trend.

While gold fell further by Rs 100 to Rs 30,200 per 10 grams, silver plunged by Rs 800 to Rs 53,000 per kg on lack of buying support from jewellers and industrial units. Sentiment remained bearish on poor domestic demand at existing higher levels, trader said.

Weakening global trend where gold fell the most in two weeks amid investor disappointment with European Central Bank President Mario Draghi's comments on efforts to fight the debt crisis, they said.

In New York last night, gold fell by USD 11.80 to USD 1,588.30 an ounce and silver by 1.13 per cent to USD 27.13 an ounce. On the domestic front, gold of 99.9 and 99.5 per cent purity fell further by Rs 100 each to Rs 30,200 and Rs 30,000 per 10 grams, respectively.

The metal had lost Rs 220 in the previous session. Sovereigns followed suit and shed Rs 50 to Rs 24,450 per piece of eight grams. Similarly, silver ready dropped by Rs 800 to Rs 53,000 and weekly-based delivery lost Rs 785 at Rs 53,000 per kg.

It had lost Rs 200 in the last trading session. Silver coins also plunged by Rs 1,000 to Rs 61,000 for buying and Rs 62,000 for selling of 100 pieces.

PTI