Gold rises further on aggressive buying
Posted by akpwld on May 7, 2008
Gold prices surged further by Rs 150 per 10 gram on the bullion market in New Delhi on Wednesday on increased buying influenced by firming trend in overseas markets.
The gold, which gained Rs 150 on Tuesday, rose further by Rs 150 to Rs 11,820 per 10 gram on heavy buying by stockists and jewellery fabricators, marketmen said.
The buying activity picked up on reports that the gold rose in Asia for a fourth day as crude oil traded near $122 a barrel, boosting the appeal of the precious metal as a hedge against inflation, they added.
Gold has gained 5.2 per cent this year in overseas markets, while oil soared 27 per cent. Bullion for immediate delivery gained $5.03 to $881.43 an ounce. The domestic bullion market normally take guidance from global markets.
Standard gold and ornaments rose by Rs 150 each to Rs 11,820 and Rs 11,670 per 10 gram respectively. Sovereign held unchanged at Rs 9875 per piece of eight gram.
Silver also rose further on brisk buying by funds. Silver ready rose further by Rs 320 to Rs 22,620 per kg and weekly-based delivery by Rs 500 to Rs 22,450 per kg.
Silver coins, on the other hand, continued to be asked at previous levels of Rs 26,600 for buying and Rs 26,700 for selling of 100 pieces.
