Gold hits 3-week low on subdued demand, global cues

Gold prices today drifted by Rs 105 to trade at a three-week low of Rs 27,225 per ten grams at the bullion market owing to slackened demand from jewellers amid a weak global trend.
Silver remained under selling pressure and traded lower by Rs 175 to Rs 38,400 per kg.
Marketmen said low demand from jewellers amid a weak global trend mainly kept pressure on gold prices.
Globally, gold traded lower by 0.24 per cent to USD 1,187.10 an ounce and silver by 0.39 per cent to USD 16.63 an ounce in London in early trade.
Besides, appreciating rupee against the dollar that made the precious metals imports cheaper influenced the sentiment to some extent.

At the forex market, the rupee was trading 22 paise higher at Rs 63.60 against the dollar (intra-day).

In the national capital, gold of 99.9 and 99.5 per cent purity fell by Rs 105 each to Rs 27,225 and Rs 27,075 per ten grams respectively. Its lowest level since May 7.
Sovereign, however, remained steady at Rs 23,700 per piece of eight gram in restricted buying from retailers.
Following gold, silver ready declined by Rs 175 to Rs 38,400 per kg and weekly-based delivery by Rs 170 to Rs 38,180 per kg.
On the other hand, silver coins maintained a steady trend at Rs 56,000 for buying and Rs 57,000 for selling of 100 pieces.