Gold rises on good demand, silver declines

Mumbai: Gold prices rose further at the domestic bullion market here today on good demand from stockists and investors on the back of higher global advices. On the other hand, silver encountered speculative selling amidst reduced industrial support. Standard gold of 99.5 percent purity surged by Rs 145 to end at Rs 27,860 per 10 grams from Tuesday`s closing level of Rs 27,715.

Pure gold of 99.9 per cent purity also climbed by similar margin of Rs 145 to finish at Rs 27,990 per 10 grams from Rs 27,845 on Monday. However, silver ready (.999 fineness) declined by Rs 390 per kg to close at Rs 56,330 as compared to Rs 56,720 previously.

In London, gold edged up on lower dollar, though mute physical demand and positive US economic outlook capped gains. Spot gold trading higher at USD 1,652.06 an ounce in early trade, while spot silver was also quoted up at USD 32.18 an ounce.