Gold hits 2-week low, global cues, subdued demand

TIL Desk/Business/New Delhi-Gold continued to head downhill to trade at a 2-week low of Rs 30,550 per 10 grams by plunging Rs 200 today, in sync with a weak global market. Demand from jewellers at the domestic market remained soft, which kept the prices lower. Silver declined Rs 240 Rs 46,260 per kg due to reduced off-take by industrial units and coin makers.

Overseas, gold turned weaker after data on Friday showed the US economy gaining traction, raising bets that the Federal Reserve may increase interest rates this year. This diminished its demand as a safe haven, which weighed on sentiment here, traders said.

Globally, gold traded 1 per cent lower at USD 1,323.83 an ounce in Singapore. In the national capital, gold of 99.9 per cent and 99.5 per cent purity slumped by Rs 200 each to Rs 30,550 and Rs 30,400 per 10 grams, respectively, a level last seen on July 2. The precious metals had shed Rs 50 in Saturday’s trade.