Gold prices bounced to Rs 31,340 per 10 grams. It is a 29-month high by surging Rs 540 in the bullion market today. Silver ready took losses forward on easing demand from coin makers and Silver lost another Rs 220 to Rs 47,080 per kg. While silver week-based delivery recovered by Rs 680 to Rs 47,480 on speculative buying.
Bullion traders said that sentiment bolstered after gold gained overseas as the dollar weakened and the US economy grew less-than-expected in the second quarter, boosting demand for safe-haven assets.
Yesterday, Gold rose 1.2% to $1,357.50 an ounce in New York. Globally, Prices of Gold have climbed 2.8% this month.
They said that besides, persistent buying by jewellers following pick up in demand for ornaments at domestic spot market, supported the upside, they said.
In the national capital Delhi, 99.9% and 99.5% pure Gold soared Rs 540 each to Rs 31,340 and Rs 31,190 per 10 grams, respectively. A level last seen on 26th February 2014, when the gold had stood at Rs 31,530.
Sovereign, also shot up by Rs 300 to Rs 24,300 per piece of eight grams.
On the other hand, silver ready fell further by Rs 220 to Rs 47,080 per kg. While weekly-based delivery increased by Rs 680 to Rs 47,480 on speculative buying.
However, Silver coins continued to be traded at the previous level of Rs 76,000 for buying and Rs 77,000 for selling of 100 pieces.