New Delhi, Feb 8: Gold prices surged by Rs 175 to Rs 27,875 per 10 grams at the bullion market Monday on persistent buying by jewellers, driven by rising wedding season demand even as the metal weakened overseas.
Silver also regained the Rs 36,000-mark by rising Rs 250 to Rs 36,050 per kg on increased offtake by industrial units and coin makers. Marketmen said increased buying by jewellers and retail customers to meet the ongoing wedding season demand kept the precious metals higher.
However, a weak global trend where gold fell from the highest level since October after the US jobless rate slid to a 2008 low and hourly earnings rose more than estimated, bolstering the case for the Federal Reserve to tighten the monetary policy, restricted the gains. Globally, gold lost 0.8 per cent to USD 1,164.50 an ounce in Singapore.
Besides, a depreciating rupee against the dollar that made the imports costlier, supported the upside in gold prices. In the national capital, gold of 99.9 and 99.5 per cent purity surged further by Rs 175 each to Rs 27,875 and Rs 27,725 per ten grams respectively. The precious metal had gained Rs 650 in the last seven days. Sovereign went up by Rs 100 to Rs 22,700 per piece of eight grams. In line with the overall trend, silver ready also rose by Rs 250 to Rs 36,050 per kg and weekly-based delivery by Rs 285 to Rs 36,090 per kg. However, silver coins continued to be traded at previous level of Rs 52,000 for buying and Rs 53,000 for selling of 100 pieces.