Gold tumbles to more than 3-month low

Fri, May 2 08:05 PM

Mumbai, May 2 (PTI) Gold prices tumbled to a three-month low on the bullion market here today on persistent stockists' offerings triggered by fall in global markets. Silver also moved down further on lack of industrial demand at current level.

Standard gold (99.5 purity) fell by Rs 145 per ten grams to Rs 11,255 from Rs 11,400 previously.

It ended at Rs 11,055 on January 22. Pure gold (99.

9 purity) also slipped by Rs 150 per ten grams to Rs 11,310 from Rs 11,460. Silver ready (.

999 fineness) dipped by Rs 385 per kilo to Rs 22,330 from Rs 22,715. In Singapore, gold traded near its lowest in four months, almost erasing this year's gains after the dollar's rally to a five-week high against euro eroded the precious metal's appeal as an alternative asset.

Bullion plunged 18 per cent from March 17 record of 1,032.70 dollars an ounce.

Dollar headed for its first back to back weekly gains this year against the euro on speculation the Federal Reserve will halt its interest-rate cuts. Gold fell below 850 dollars an ounce yesterday for the first time since January 2 to as low as 847.

93 dollars. Gold prices ended lower in Hong Kong at USD 855.

30/856.00 per ounce as against USD 866.

60/867.30 per ounce yesterday.

In London, gold was fixed lower in the morning at USD 854.25 per ounce as against USD 853.

00 per ounce. PTI.

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