Free Press Journal

Gold rebounds on seasonal support; halts 3-day slide


Mumbai: Breaking a three-day string of declines, gold staged a strong comeback at the domestic bullion market here today on renewed stockists demand as well as festival and wedding-related uptick. Silver also regained some lost ground following good industrial buying support.

Standard gold (99.5 purity) spurted by Rs 140 to conclude at Rs 26,595 per 10 grams from overnight closing level of Rs 26,455. Pure gold (99.9 purity) also rose by a similar margin to end at Rs 26,745 per 10 grams compared to Rs 26,605.

Silver (.999 fineness) surged by Rs 410 to finish at Rs 37,700 per kg as against Rs 37,290 yesterday. In worldwide trade, the yellow-metal reversed its earlier sluggishness to stay firmly above the psychologically important USD 1,200 mark on short-covering rally and also bargain hunting.

However, a stronger dollar and upbeat equities amid expectations for a tightening of US Federal Reserve policy this summer kept gold prices under check. Spot gold was bid higher at USD 1,2002.05 an ounce after plunging to a two-week low in early European trade, while silver was quoted marginally higher at USD 16.45 an ounce.