Gold, silver up on increased buying, firm global cues

Gold prices rose further by Rs. 10 to Rs 27,460 per 10 grams in the national capital on Tuesday, on increased buying by jewellers and retailers for the upcoming festive season amid a firming global trend.

Silver followed suit and advanced by Rs. 100 to Rs 41,600 per kg on increased off-take by industrial units and coin makers.

Market men said apart from increased buying by jewellers and retailers to meet upcoming festive season demand, a firming global trend on speculation prices near an eight-month low will spur more buying as the U.S. Federal Reserve begins a two-day policy meeting, also boosted the sentiment.

Gold in London, which normally sets the price trend on the domestic front, rose by 0.3 per cent to $1,236.63 an ounce and silver by 0.2 per cent to $18.72 an ounce.

In Delhi, gold of 99.9 and 99.5 per cent purity added Rs. 10 each to Rs. 27,460 and Rs. 27,260 per ten gram respectively. It had gained Rs. 80 on Monday. Sovereigns, however, moved in a tight range in scattered deals and settled at last level of Rs. 24,400 per piece of eight grams.

Similarly, silver ready rose further by Rs. 100 to Rs. 41,600 per kg and weekly-based delivery by Rs. 90 to Rs. 41,540 per kg. The white metal had gained Rs. 250 in last trade. On the other hand, silver coins maintained a steady trend at Rs. 71,000 for buying and Rs. 72,000 for selling of 100 pieces.