Gold slips on weak global cues, muted demand

Gold lost Rs 100 to Rs 31,700 per ten gram at the bullion market today, tracking a weak trend overseas amid tepid demand from local jewellers.Silver followed suit and plunged by Rs 535 to Rs 39,440 per kg due to reduced offtake by industrial units and coin makers.

Traders attributed the decline in gold prices to a weak trend overseas as the dollar rebounded from over three-year lows, while investors waited for the minutes of the latest Fed meet for clues on the outlook for US interest rates.Globally, gold fell 0.62 per cent to USD 1,337.70 an ounce and silver by 1.05 per cent to USD 16.47 an ounce in Singapore.

In the national capital, gold of 99.9 per cent and 99.5 per cent purity moved down by Rs 100 each to Rs 31,700 and Rs 31,550 per ten gram, respectively. It had gained Rs 50 yesterday.Sovereign however remained flat at Rs 24,800 per piece of eight gram.In sync with gold, silver ready dropped by Rs 535 to Rs 39,440 per kg and weekly-based delivery by Rs 290 to Rs 38,295 per kg.Silver coins however continued to be traded at last level of Rs 74,000 for buying and Rs 75,000 for selling of 100 pieces.