Gold Recovers, Silver Cracks Below Rs 46K, Forex Reserves at $367 Bn 

Mumbai: Gold prices recovered at the bullion market during the week on increased buying by jewellers to meet retailers demand driven by festive season at domestic spot market amid a firming global trend. However, Silver finished lower on reduced off take by industrial units and coin makers. Coming to foreign exchange (forex) market, reserves rose to $367.76 billion as on September 2, according to the latest data from Reserve Bank of India (RBI).

Increased buying by jewellers to meet festive season demand from retailers amid a firm global trend mainly led to recovery in gold prices. In the national capital, gold of 99.9 and 99.5 per cent purity climbed to 30-month high of Rs 31,550 and Rs 31,400 per 10 gram respectively, a level last seen on February 26, 2014.

Bullion traders said increased buying by jewellers to meet festive season demand from retailers amid a firm global trend mainly led to recovery in gold prices. In the national capital, gold of 99.9 and 99.5 per cent purity commenced the week higher at Rs 31,050 and Rs 30,900 and climbed to 30-month high of Rs 31,550 and Rs 31,400 per 10 gram respectively on global cues, a level last seen on February 26, 2014.

Later, it met with resistance at prevailing levels and slipped to close at Rs 31,150 and Rs 31,000 per 10 gram respectively, still showing a rise of 150 each.
Sovereign, also went up by Rs 100 to Rs 24,400 per piece of eight gram. In volatile movements on alternate bouts of buying or selling, silver ready ended the week lower by Rs 100 to Rs 45,800 per kg. Silver week-based delivery, however, recaptured the Rs 46,000-mark by surging Rs 715 to closed at Rs 46,195 per kg on speculative buying.
On the other hand, Silver slipped below Rs 46,000, down Rs 350 on global cues. Silver coins maintained a steady trend at Rs 75,000 for buying and Rs 76,000 for selling of 100 pieces.

Silver cracked below Rs 46,000- mark by falling Rs 350 to Rs 45,800 per kg on Saturday tracking a weak trend overseas amid reduced off-take by industrial units in the domestic market.

Silver cracked below Rs 46,000- mark by falling Rs 350 to Rs 45,800 per kg on Saturday tracking a weak trend overseas amid reduced off-take by industrial units in the domestic market. Traders said besides weak trend overseas, reduced off-take by industrial units and coin makers in local spot market pulled down silver prices.
Globally, silver fell 2.78 per cent to $19.03 an ounce and gold 0.78 per cent to $1,327.80 an ounce in New York in yesterday’s trade. In the national capital, silver ready remained under selling pressure and lost another Rs 350 to Rs 45,800 per kg and weekly-based delivery Rs 345 to Rs 46,195 per kg. Silver also plummeted by Rs 1,000 to Rs 75,000 for buying and Rs 76,000 for selling of 100 pieces.

Forex Reserves at $367 bn

The country’s foreign exchange (forex) reserves went up to $367.76 billion as on September 2. According to the latest data released by RBI, the reserves stood at $367.76 billion as on September 2 as against $366.77 billion as on Aug 26.

The country’s foreign exchange (forex) reserves went up to $367.76 billion as on September 2. According to the latest data released by RBI, the reserves stood at $367.76 billion as on September 2 as against $366.77 billion as on Aug 26.

On September 2, the foreign currency assets stood at $342.23 billion, gold at $21.62 billion, special drawing rights at $1.48 billion and the reserve position in the International Monetary Fund (IMF) at $2.39 billion.
The reserves as on Augt 26 comprised of foreign currency assets at $341.28 billion, gold at $21.58 billion, special drawing rights at $1.49 billion and the reserve position with the IMF at $2.41 billion.

Source: PTI/ IANS