Taking weak cues from overseas markets and subdued demand from jewellers, gold on Tuesday plunged by Rs 195 to Rs 26,430 per ten gram and silver by Rs 200 to Rs 36,000 per kg at the bullion market.
Traders said besides easing demand from jewellers, a weak global trend as stronger dollar reduced appeal of the precious metals dampened the sentiments.
Globally, gold in Singapore, which normally set price trend on the domestic front, fell 0.6 per cent to $1,159.85 an ounce, the lowest since December 1 as the dollar extended gains on speculation the Federal Reserve may raise interest rates this year as the economy recovers.
Silver also fell by 0.5 per cent to $15.68 an ounce, the lowest since January 5.
In the national capital, gold of 99.9 and 99.5 per cent purity slumped by Rs 195 each to Rs 26,430 and Rs 26,230 per 10 gram respectively.
It gained Rs 85 on Monday.
Sovereign, however, remained unaltered at previous level of Rs 23,600 per piece of eight gram in restricted deals.
Silver ready remained under selling pressure and declined by another Rs 200 at Rs 36,000 per kg and weekly-based delivery by Rs 310 to Rs 35,690 per kg.
On the other hand, silver coins maintained steady trend at Rs 56,000 for buying and Rs 57,000 for selling of 100 pieces.
