The bullion market continued its downward streak today as gold and silver fell for the third and fourth straight session, respectively, today due to weak demand on increased selling by stockists.
While gold fell by Rs 100 to Rs 20,560 per 10 grams in continuation to a loss of Rs 340 in the last two sessions, silver lost Rs 600 to Rs 44,700 per kg, after dropping Rs 1,630 in last three days.
Trading sentiments remained bearish towards as gold dropped further for the fifth day in Asia, the longest losing streak since August 2009, as signs that the US economy recovering curbed demand for the metal as a safe haven.
Gold in global markets, which normally sets a price trend on the domestic front, fell by 0.3 per cent to $1,367.53 an ounce and silver by 0.7 per cent to $28.87 an ounce.
Besides, retail customers refraining from purchasing gold at higher levels and waiting for further fall also dampened trading sentiments.
On the domestic front, gold of 99.9 and 99.5 per cent purity remained weak and lost Rs 100 each to Rs 20,560 and Rs 20,440 per 10 grams, respectively. The metal had lost Rs 340 in the previous two trading sessions.
Sovereign followed suit and declined by Rs 50 to Rs 16,850 per piece of eight grams. Silver ready plunged by Rs 600 to Rs 44,700 per kg and weekly-based delivery by Rs 545 to Rs 44,345 per kg.
Silver coins too traded in negative zone with a loss of Rs 100 to Rs 50,200 for buying and Rs 50,300 for selling of 100 pieces.