Gold prices lost Rs 190 to fall below the psychologically important 17,000-level in the bullion market here today on heavy selling pressure due to weak global cues.
Both standard gold and ornaments declined by Rs 190 each at Rs 16,930 and Rs 16,780 per ten grams, respectively. The sovereign rate was stable at Rs 14,050 per eight-gram piece on some buying support.
Traders said selling escalated on reports that the metal in the overseas markets recorded its biggest fall in a month. Last evening, the precious metal registered its biggest decline of $27.40 or 2.4 per cent at $1,112.60 an ounce at the New York Mercantile Exchange since December 17.
The market turned extremely bearish on all-round selling and discouraged buying even for the ongoing marriage season as retailers awaited more opportunities, they added.
A similar weakness was noticed in silver on withdrawal of support from industrial units.
Silver ready dropped by Rs 700 to Rs 28,200 per kg and weekly-based delivery by Rs 715 to 27,800 per kg.
Silver coins followed suit and tumbled by Rs 200 to Rs 33,600 for buying and Rs 33,700 for selling of 100 pieces.