Gold costs fall by Rs 100 on easing demand

New Delhi, Jun 24 Gold prices declined by Rs 100 to Rs 34,270 per 10 gram in the bullion market here on Monday due to easing demand from jewellers despite a positive overseas trend, according to the All India Sarafa Association.

Silver, however advanced by Rs 90 to Rs 39,090 for every kg on expanded offtake by mechanical units and coin makers.

As indicated by dealers, decrease sought after from local jewellers at the domestic spot market prompted the plunge in gold costs, however a firm global trend capped the fall.

Globally, spot gold was trading higher at USD 1,404.92 an ounce, while silver was up at USD 15.36 an ounce in New York.

"Spot gold costs are hovering near six-year highs on developing pressures in the Middle East and hesitant remarks from the significant national banks that boosted the yellow metal's of refuge offer," said Hareesh V, Head-Commodity Research, Geojit Financial Services.

"A weak dollar, which dove to a three-month low on desires for an inescapable loan cost cut by the US Federal Reserve, additionally helped the feelings," he said.

In the national capital, gold of 99.9 percent and 99.5 percent immaculateness fell by Rs 100 each to Rs 34,270 and Rs 34,100 for every 10 gram, separately.

Sovereign gold, however, held consistent at Rs 26,800 per eight gram.

On Saturday, gold had ascended by Rs 70 to Rs 34,370 for each 10 gram.

Meanwhile, silver ready gained Rs 90 to Rs 39,090 per kg, while weekly-based delivery gained Rs 144 to Rs 38,098 for each kg.

Cost of silver coins held flat at Rs 80,000 for buying and Rs 81,000 for selling of 100 pieces.