Gold, silver hit multi-year low on fading luster

Gold prices slipped to its lowest level in more than 14 months as intense selling remained unabated at the domestic bullion market amid fears of global meltdown in the aftermath of Fed policy backlash.
Elsewhere, silver also plunged sharply to hit nearly 1-1/2 year low and closed below the psychological significant Rs 41,000 per kilo level due to heavy speculative unwinding.
Standard gold (99.5 purity) declined by Rs 25 to finish at Rs 26,500 per 10 grams from Friday's level of Rs 26,525.
Pure gold (99.9 purity) also lost by similar margin to end at Rs 26,650 per 10 grams against Rs 26,675.

Silver (.999 fineness) tanked by Rs 810 to conclude at Rs 40,510 per kg compared to Rs 41,320 yesterday.
On the global front, the yellow metal extended losses on surging dollar value amid growing expectations that the US benchmark interest rates will climb next year after the Federal Reserve wrap up its bullion friendly quantitative easing measures next month.
Gold for December delivery slumped to settle at USD 1,216.60 an ounce on the Comex division of the NYMEX late yesterday, while silver slipped to USD 17.78 an ounce.