Gold prices rose by Rs 40 on the bullion market in Mumbai on Monday due to increased demand after a steep rise in the global prices.

Silver also closed with minor gains.

Pure gold (99.9 purity) opened smartly firm at Rs 5,570, but softened towards the fag-end on fresh profit selling and closed at Rs 5,565, still showing a smart rise of Rs 45 over the previous close of Rs 5,520.

Standard gold (99.5 purity) also resumed higher at Rs 5,540, but later softened in line with the market trend and settled at Rs 5,530, showing a good gain of Rs 40 over the weekend level of Rs 5,490.

In Hong Kong, gold closed firm at $359.70-360.20 an ounce from the previous close of $354.50-355.00 and in London, it was fixed early in the day higher at $359.00 an ounce from the last level of $353.05, dealers said.

Ready silver (.999 fineness), after a strong start at Rs 7740, lost some of the early gains towards the end and closed at Rs 7,720, still revealing a small gain of Rs 5 over the last close of Rs 7,715.

Following are today's closing rates with previous rates in brackets.

Ready silver .999 (per kilo) 7720 (7715), pure gold 99.9 (ten gram) 5565 (5520) and standard gold 99.5 (ten gram) 5530 (5490).