However, silver lacked necessary buying support and fell for the fourth day shedding Rs 50 to Rs 52,900 per kg.
The trading sentiment in gold improved as it recorded the highest jump in four weeks in global markets, climbing above USD 1,600 an ounce, after Europe's leaders took steps to resolve the debt crisis, boosting the outlook for global economic growth.
In New York, gold climbed 3.5 per cent to USD 1,604.20 an ounce, the biggest gain since June 1.
In addition, some buying for the ongoing marriage season further fuelled the uptrend in gold.
On the domestic front, gold of 99.9 and 99.5 per cent purity recovered by Rs 65 each to Rs 30,125 and Rs 29,925 per 10 grams, respectively. The metal had lost Rs 360 yesterday. However, sovereigns held steady at Rs 24,400 per piece of eight grams.
On the other hand, silver ready remained weak for the fourth straight day and declined by Rs 50 to Rs 52,900 per kg and weekly-based delivery by Rs 75 to Rs 52,050 per kg. The white metal had lost Rs 1,450 in last three sessions.
Meanwhile, silver coins remained steady at Rs 59,000 for buying and Rs 60,000 for selling of 100 pieces.