Gold gains Rs 150 on global cues, jewellers' buying

New Delhi: Gold rose by Rs 150 to Rs 31,610 per 10 gram at the bullion market on Tuesday in step with a firm global trend and increased buying by local jewellers.

Silver followed suit and advanced by Rs 225 to Rs 39,600 per kg, backed by increased offtake by industrial units and coin makers.

Traders said positive global cues where gold rose as dollar weakened against other currencies, raising appeal for the precious metal as a safe haven, kept gold prices higher.

Also, sustained buying by local jewellers at the domestic spot market influenced the sentiment.

Globally, gold rose 1.19 per cent to USD 1,340.80 an ounce and silver by 1.53 per cent to USD 16.60 an ounce in New York in Monday's trade.

In the national capital, gold of 99.9 per cent and 99.5 per cent purity advanced by Rs 150 each to Rs 31,610 and Rs 31,460 per 10 gram, respectively.

The precious metal had gained Rs 110 yesterday. Sovereign however remained flat at Rs 24,800 per piece of eight gram. Silver ready also rose by Rs 225 to Rs 39,600 per kg and weekly-based delivery by Rs 270 to Rs 38,795 per kg.

On the other hand, silver coins maintained a steady trend at Rs 74,000 for buying and Rs 75,000 for selling of 100 pieces.