Gold prices fell by Rs 95 to Rs 28,315 per ten gram at the bullion market today on reduced offtake by retailers and jewellers at prevailing higher levels amid a weakening overseas trend.
Similarly, silver dropped by Rs 600 to Rs 56,500 per kg on reduced offtake by industrial units and silver coins manufacturers after the festival season came to a close.
Trading sentiment turned bearish as retail customers shied away from purchasing at existing costly levels besides a weakening trend in the overseas markets last evening.
Gold price in the global markets, which normally set the price trend at the domestic front here, declined by $10.40 to $1,754 an ounce as a six-week rally spurred some investors to sell the precious metal.
Silver declined notably as industrial units refrained from buying amid drying up of demand from silver coins makers. Sentiment was further effected after silver lost 0.8 per cent to $34.28 an ounce in New York last night.
At home, gold of 99.9 and 99.5 per cent purity fell by Rs 95 each to Rs 28,315 and Rs 28,175 per ten gram, respectively. Sovereign remained unchanged at Rs 22,200 per piece of eight gram.
Silver ready plunged by Rs 600 to Rs 56.500 per kg and weekly-based delivery by a same margin to Rs 56,250 per kg. Silver coins dropped by Rs 2,000 to Rs 62,000 for buying and Rs 63,000 for selling of 100 pieces.