Silver prices shot up by Rs 850 at Rs 23,700 per kg on emergence of buying by stockists and industrial users and gold rose by Rs 55 at Rs 12,125 per 10 grams. Trading sentiment turned bullish after some investors shifted their funds from volatile stock markets to bullion.
A steep rise in buying activity even discounted reports of the precious metals weakening in global markets. The overseas trend normally set price band in domestic markets here.
Gold in London fell for a second day as stocks in Europe and Asia advanced and the dollar rose, diminishing the metal's appeal as an alternative investment. A significant rise in silver prices was seen. Silver ready registered a hefty gain of Rs 850 at Rs 23,700 per kg and weekly-based delivery by Rs 185 at Rs 23,385 per kg. Its coins too were in demand and gained Rs 100 at Rs 26,700 for buying and Rs 26,800 for selling of 100 coins.
Standard gold and ornaments rose by Rs 55 each at Rs 12,125 and Rs 11,975 per 10 grams respectively while sovereign remained flat at Rs 9,875 per piece of 8 gram.