Gold down ₹200 on low demand

Gold fell by ₹200 to ₹31,400 per 10 gram at the bullion market on Friday owing to weak demand from jewellers and retailers even as the metal strengthened overseas. Silver followed suit and fell by ₹250 to ₹37,650 per kg due to reduced offtake by industrial units and coin makers.

Marketmen said muted demand from local jewellers and retailers at the domestic spot markets mainly kept pressure on the precious metal, but a firm trend overseas capped the fall.

Globally, gold rose 0.61% to USD 1,208.20 an ounce and silver 0.78% to USD 14.25 an ounce in Singapore as softer-than-expected US consumer prices data dimmed the case for a faster pace of policy tightening by the Federal Reserve.

In the national capital, gold of 99.9 and 99.5% purity drifted lower by ₹200 each to ₹31,400 and ₹31,250 per 10 gram, respectively. The precious metal had shed ₹25 on Thursday.

Sovereign, however, remained flat at ₹24,500 per piece of eight gram.

Tracking gold, silver ready dropped by ₹250 to ₹37,650 per kg and weekly-based delivery by ₹75 to ₹37,210 per kg.

Silver coins, however, continued to be traded at previous level of ₹72,000 for buying and ₹73,000 for selling of 100 pieces.