Gold price trend weakens in Asian trading

New Delhi-India (July 2)  Tracking a weak trend overseas and easing demand from local jewellers, gold lost its sheen during the week at the bullion market and recorded a fall of Rs 170 in its prices to close at Rs 28,620 per ten grams.

Traders said apart from a weak trend overseas, fading demand from local jewellers and retailers at domestic markets, mainly attributed the fall in gold prices.

The bullion market remained closed on Monday on account of "Id-ul-Fitr" (Ramzan Eid).

However, silver recaptured the Rs 39,000-mark due to increased offtake by industrial units and coin makers.

In worldwide trade, gold prices settled lower this week, suffering from their first monthly decline since March, with a fourth straight weekly fall driven by a rise in global bond yields, which diminished appetite for precious metals.

A steadying US dollar and equity market and mostly upbeat economic data, added pressure to silver and gold futures for the session, but the yellow metal still finished the first half of the year with a gain of nearly 8 percent.

The yellow-metal fell about 1.1 per cent for the week and lost 2.6 per cent for the month. For the first six months of the year, however, it rose 7.9 per cent, while the white-metal declined to end the week down 0.1 per cent. For the month, it fell 4.4 percent, but notched 4 percent advance so far this year.

Source: DNA