Gold slides further on selling by stockists, investors

Mumbai, June 27: Gold prices dropped further at the bullion market here today on continued selling by stockists and investors on the back of subdued local buying interest. Silver also moved down marginally in a listless trade in the absence of industrial support.

Standard gold of 99.5 per cent purity fell by Rs 135 to end at Rs 26,010 per 10 gm from Wednesday's closing level of Rs 26,145. Pure gold of 99.9 per cent purity also dropped by a similar margin to finish at Rs 26,145 per 10 gm from Rs 26,280 previously.

Silver ready (.999 fineness) edged down by Rs 25 to conclude at Rs 40,450 per kg from Rs 40,475 yesterday.

There was virtually no physical demand for the yellow metal despite yesterday's steep fall. This may be due to ongoing off-season and uncertainty in overseas markets, a trader said.

In Europe, gold edged up slightly on low level investor buying after tumbling 12 per cent over the past eight sessions, as dip in first quarter US economic growth data weighed on the dollar and eased fears of an abrupt end to the Federal Reserve's monetary stimulus.

In London, spot gold rose to USD 1,232,66 an ounce in early trade, silver traded higher by USD 18.73 an ounce.

PTI