Gold regaining the Rs 26,000 mark

0
117

Gold regaining the Rs 26,000-mark, featured trading at the bullion market during the week, tracking a firm global trend amid pick up in buying by jewellers and retailers at domestic spot market.

Silver followed suit and recovered to close higher on increased offtake by industrial units and coin makers. In the global market, the precious metal once again topped the USD 1,100 an ounce mark.
For the week, it rose 3.6 percent in New York. Depreciation in rupee, which was fell to over three-week low against the dollar, also supported the upside in gold prices as it would make imports costlier.

At the forex market, the domestic currency weakened by 49 paise to close the week at over three-week low of 66.63 against the dollar after hitting a low of 66.97.

Bullion traders said sentiment got a boost after gold rallied to a three-week high in global markets following China’s devaluation of its currency and rising geopolitical tensions spurred demand for safe-haven assets.

China’s central bank lowered the yuan against the dollar by 0.51 percent to 6.5646, the lowest since March 2011. Besides, increased buying by jewellers and retailers at the domestic markets supported the upside in the precious metal prices, they said.

In the national capital, gold of 99.9 and 99.5 percent purity commenced the week higher and day-to-day trading it rallied to two-month high of Rs 26,350 and Rs 26,200 per 10 grams, triggered by a firm global trend and jewellers buying.

Later, it met with resistance at higher levels at the fag-end and slipped to close at Rs 26,330 and Rs 26,180 per 10 grams respectively, still showing a significant rise of Rs 910 each. Sovereign followed suit and rose by Rs 200 to Rs 22,400 per piece of eight gram.

Following gold, silver ready ended higher by Rs 500 to Rs 33,800 per kg and weekly-based delivery finished up by Rs 490 to Rs 33,825 per kg. Silver coins also spurted by Rs 1,000 to Rs 48,000 for buying and Rs 49,000 for selling of 100 pieces.

NO COMMENTS