Free Press Journal

Gold, silver lose momentum on fresh selling; ECB outcome looms


Mumbai: Precious gold retreated and closed below the psychologically important Rs 28,000 mark at the bullion market here due to fresh bout of selling as well as reduced stockists demand.

Extreme caution ahead of the much awaited European Central Bank’s decision on stimulus measures and lacklustre overseas cues also forced speculative investors to book profits after a four-day upsurge that had taken the yellow metal prices to a five-month high.

Moving with the general trend, silver also declined owing to sluggish industrial offtake.

Standard gold (99.5 purity) slumped by Rs 190 to conclude at Rs 27,970 per 10 grams from overnight closing level of Rs 28,160.

Pure gold (99.9 purity) also shed by a similar margin to end at Rs 28,120 per 10 grams compared to Rs 28,310.

Silver (.999 fineness) slipped by Rs 125 to finish at Rs 40,265 per kg compared to Rs 40,390 yesterday.

On the global front, the shiny-metal traded marginally lower, below the significant USD 1,300 an ounce tag ahead of the ECB meet outcome amid strength in Asian equities.

Spot gold was substantially lower at USD 1,283.50 an ounce in early European trade, while silver ruled weak at USD 18.19 an ounce.