Gold gains for third day on sustained buying, global cues

Gold prices on Tuesday gained for the third straight session by adding Rs 15 to Rs 31,365 per 10 gram on sustained buying by stockists and retailers for the ongoing marriage season amid a firming global trend.

Silver also rose for the fourth day by gaining Rs 370 to Rs 48,250 per kg on increased offtake by jewellers and industrial units.

Traders said sustained buying by stockists and retailers for the ongoing marriage season mainly led an upward trend in precious metals.

Firming global trend, where gold and silver rose to 16-week high on speculation that weakening US growth and turmoil in Ukraine will boost demand for the precious metals as a haven, also supported the uptrend, they said.

Gold in New York, which normally sets price trend on the domestic front, climbed 1.1 per cent to $1,338 an ounce, the highest since October 31.

Silver also moved up by 1.3 per cent to $22.08 an ounce, the highest since October 31.

On the domestic front, gold of 99.9 and 99.5 per cent purity rose by Rs 15 each to Rs 31,365 and Rs 31,165 per 10

gram respectively.

It had gained Rs 200 in last two days.

Sovereign shot up by Rs 100 to Rs 25,500 per piece of eight gram.

In a similar fashion, silver ready rose further by Rs 370 to Rs 48,250 per kg and weekly-based delivery by similar margin to Rs 47,850 per kg.

The white metal had gained Rs 380 in the previous three sessions.

Silver coins, however, held steady at Rs 89,000 for buying and Rs 90,000 for selling of 100 pieces.