Gold regains sheen amid festivities, silver tanks to 4-yr low

Mumbai: Gold prices rebounded modestly after a brief overnight fall at the domestic bullion market here on Wednesday on renewed offtake ahead of festivities supported by investment buying.

In contrast, industrial metal plunged further sharply to its lowest levels in nearly four years following heavy unwinding by savvy traders tracking sharp overnight fall in overseas.

Standard gold (99.5 purity) gained by Rs 30 to finish at Rs 26,785 per 10 grams against Tuesday's closing level of Rs 26,755.

Pure gold (99.9 purity) also added by a similar margin to settle at Rs 26,935 per 10 grams from Rs 26,905.

Silver (.999 fineness), however dropped by Rs 370 to conclude at Rs 39,430 per kg compared to Rs 39,800 yesterday.

Globally, the shiny metal drifted to hit ten-month low on strong dollar amid cation ahead of key US data release later in the day.

Spot gold was lower at USD 1,205.90 an ounce in early European trade.