Gold falls below Rs 32,000-mark on global cues, low demand

Gold prices cracked below the Rs 32,000-mark by plunging Rs 450 to end at Rs 31,950 per 10 grams at the bullion market during the week taking weak cues from overseas markets and fall in demand from local jewellers at domestic spot market.

Silver followed suit and suffered a setback of Rs 200 at Rs 41,200 per kg due to reduced offtake by industrial units and coin makers.

Traders said, sentiment was downbeat largely in sync with a weak trend overseas, pressured by a firm US dollar amid surging US Treasury yields.

Globally, gold ended the week lower at USD 1,291.90 an ounce and silver at USD 16.43 an ounce in New York.

Besides, fading demand from local jewellers and retailers at current levels in the domestic spot market weighed on the gold prices.

In the national capital, gold of 99.9 per cent and 99.5 per cent purity started the week on a subdued note in line with a weak global trend and slipped below the Rs 32,000-mark to close at Rs 31,950 and Rs 31,850 per ten grams respectively, showing a sharp fall of Rs 450 each.

Sovereign, in restricted activity through the week, settled at previous level of Rs 24,800 per piece of eight grams.

In volatile movements on alternate bouts of buying or selling, silver ready also ended the week lower by Rs 200 to Rs 41,200 per kg and weekly-based delivery by Rs 345 to Rs 40,195 per kg.