Gold, silver prices rebound on brisk buying by jewellers

Gold prices snapped their three-day falling trend and surged by Rs 375 to trade at Rs 26,375 per 10 grams at the bullion market on brisk buying by jewellers and retailers amid a firm global trend.

Bullion merchants said gold recovering from three-month low in global market after the US Federal Reserve indicated that interest rates may rise at a slower-than-estimated pace, boosted the sentiments.

Gold in Singapore, which normally sets price trend on the domestic front, rose by 0.9 per cent to $1,177.96 an ounce and silver by 0.2 per cent to $15.97 an ounce.

In the national capital, gold of 99.9 and 99.5 per cent purity climbed by Rs 375 and Rs 325 to Rs 26,375 and Rs 26,175 per 10 grams, respectively. Sovereign, however, held steady at Rs 23,600 per piece of eight grams in limited deals.

Tracking gold, silver ready jumped by Rs 800 to Rs 36,200 per kg and weekly-based delivery by Rs 390 to Rs 35,910 per kg. Silver coins also flared up by Rs 1,000 to Rs 55,000 for buying and Rs 56,000 for selling of 100 pieces.