Gold extends losses, hits nearly one-month low on global cues

Gold prices slipped further by Rs 100 to trade at a nearly one-month low of Rs 29,650 per ten grams at the bullion market on Saturday largely in line with a weakening global trend amid sluggish demand from jewellers and retailers at domestic spot market.

Silver also remained under selling pressure and shed Rs 50 to Rs 39,900 per kg.

Bullion traders said sentiment remained weak on the back of subdued global trend amid speculation that the US Federal Reserve will raise interest rates as soon as next month, curbing the appeal of the precious metals.

Globally, gold fell 0.22% to $1,251.90 an ounce in New York's on Friday trade.

They said falling demand from jewellers, as well as retailers at domestic spot market too, dampened the sentiment.

In the national capital, gold of 99.9% and 99.5% purity declined by Rs 100 each to Rs 29,650 and Rs 29,500 per ten grams, respectively, a level last seen on April 23.

Sovereign also lost Rs 100 to Rs 23,100 per piece of eight grams.

Following gold, silver ready traded lower by Rs 50 to Rs 39,900 per kg and weekly-based delivery by Rs 30 to Rs 39,840 per kg.

Silver coins, however, held steady at Rs 67,000 for buying and Rs 68,000 for selling of 100 pieces.