Gold, silver prices bounce back on global cues, jewellers' buying

Riding on rebound in global market and fresh buying by jewellers at the domestic market, gold price regained the Rs 26,000-mark by rising Rs 235 to Rs 26,150 per ten grams, snapping its two-day falling streak at the bullion market on Monday.

Silver price also recovered by Rs 300 to Rs 34,600 per kg on pickup in demand from industrial units and coin makers.

Bullion merchants attributed recovery in the precious metals to a firming trend overseas as the attacks in Paris reinvigorated bullion's traditional role as a haven.

Furthermore, fresh buying by jewellers driven by ongoing wedding season too supported the upside in prices, they said.

Gold in Singapore, which normally sets price trend on the domestic front, advanced 1.2 per cent to $1,096.44 an ounce and silver was up 1.3 per cent to $14.44 an ounce.

In the national capital, gold of 99.9 and 99.5 per cent purity shot up by Rs 235 each to Rs 26,150 and Rs 26,000 per ten grams, respectively. The precious metal had lost Rs 335 in the previous two sessions.

Sovereign, however, remained steady at Rs 22,200 per piece of eight grams in limited deals.

Following gold, silver ready rose by Rs 300 to Rs 34,600 per kg and weekly-based delivery by Rs 450 to Rs 34,260 per kg.

On the other hand, silver coins held steady at Rs 48,000 for buying and Rs 49,000 for selling of 100 pieces.