Gold remains weak on reduced demand; silver plunges

Mumbai, Aug 5 : Gold prices drifted further at the bullion market here today due to lacklustre demand from jewellery stockists and traders amid global sluggishness. Silver also plummeted below the key Rs 45,000 per kg mark on heavy speculative unwinding coupled with lack of industrial buying support.

Standard gold (99.5 purity) fell by Rs 55 to conclude at Rs 27,930 per 10 grams as compared to Monday’s level of Rs 27,985. Pure gold (99.9 purity) declined by Rs 55 to end at Rs 28,080 per 10 grams from Rs 28,135 previously.

Silver (.999 fineness) dropped sharply by Rs 350 to finish at Rs 44,650 per kg against its overnight level of Rs 45,000. Globally, the yellow metal retreated after a brief bounce on strong equities amid improving US macro data despite ongoing geo-political concerns.

Gold for August delivery settled at USD 1,287.70 an ounce on the Comex division of the NYMEX late yesterday, while silver eased to USD 20.23 an ounce.