Both the precious metals, gold and silver, fell on the bullion market today, due to reduced offtake at existing high levels and sustained selling by stockists on global cues. While gold fell by Rs 40 to Rs 21,095 per 10 grams, silver lost Rs 350 to Rs 55,350 per kg.
Trading sentiments turned bearish for the yellow metal after it declined in international markets, as signs of improving US economy curbed the precious metal's appeal as an alternative investment.
Some investors felt last week's rally in precious metals to a record was overdone and booked profits to park their funds in rising equities.
Gold in global markets, which normally sets a price trend on the domestic front, fell by 0.4 per cent to $1,424.20 an ounce and silver fell by 0.8 per cent to $37.04 an ounce.
On the domestic front, gold of 99.9 and 99.5 per cent purity declined by Rs 40 each to Rs 21,095 and Rs 20,975 per 10 grams, respectively. Sovereigns, however, held steady at Rs 17,500 per piece of eight grams in limited deals.
In line with a general weakening trend, silver ready fell by Rs 350 to Rs 55,350 per kg and weekly-based delivery by Rs 240 to Rs 55,190 per kg.
Silver coins also lost Rs 500 to Rs 59,000 for buying and Rs 59,500 for selling of 100 pieces.
