Gold climbs Rs 130 on festive demand

Gold advanced by Rs 130 to Rs 31,980 per 10 gram Thursday following uptick in festive season demand from jewellers and retailers at the domestic spot market despite a weak global trend.

However, silver met with resistance at prevailing levels and declined by Rs 200 to Rs 39,000 per kg.

Bullion traders said gold prices spurted due to surge in festive demand. Besides, the rupee depreciating to a life-time low of 74.50 (intra-day) against the dollar, making imports costlier, too supported the uptrend in gold, they said. Globally, gold fell 0.15 per cent to USD 1,193.60 an ounce in Singapore. Silver too eased 0.14 per cent to trade at USD 14.34 an ounce.

In the national capital, gold of 99.9 per cent and 99.5 per cent purity rose by Rs 130 each to Rs 31,980 and Rs 31,830 per 10 gram, respectively. The metal had gained Rs 200 yesterday. Sovereign however remained steady at Rs 24,600 per piece of eight gram.

On the other side, silver ready fell by Rs 200 to Rs 39,000 per kg and weekly-based delivery traded higher by Rs 180 to Rs 38,470 per kg on speculative buying.

Silver coins however remained unchanged at Rs 73,000 for buying and Rs 74,000 for selling of 100 pieces.