Gold falls after poor demand

Mumbai: Gold prices turned softer with a fall of Rs 265 per 10 grams in the bullion market on Friday, reflecting a lacklustre trend overseas amid slack domestic demand. Silver also dropped further by Rs 250 per kg on poor offtake by industrial units and coin makers. Standard gold of 99.5 per cent purity slid Rs 265 to conclude at Rs 28,495 per 10 grams as against Thursday’s closing level of Rs 28,760. Pure gold (99.9 per cent purity) also shed by a similar margin to end at Rs 28,645 per 10 grams compared to Rs 28,910 earlier. Silver (.999 fineness) slumped by Rs 250 to finish at Rs 36,620 per kg, from Rs 36,870 previously.

Globally, gold prices steadied, but were on track for their biggest weekly fall since May ahead of US employment data later that could influence the pace of US interest rate hikes. Spot gold slipped 0.1 per cent at $1,245.66 an ounce in early trade. Among other precious metals, silver was up 0.4 per cent at $15.78, but down four per cent this week.