New Delhi, Oct 15: Gold extended gains for the second straight session today and rose by Rs 45 to Rs 27,165 per 10 grams on sustained buying by stockists and jewellers to meet the seasonal demand, amid a firming global trend.
However, silver continued to slide for the third day by losing Rs 250 to Rs 53,550 per kg on sluggish demand from industrial units. It had lost Rs 800 in the last two sessions. Sentiments in gold remained firm after it gained in overseas markets on concern about Europe's debt crisis and increased domestic demand ahead of ‘Diwali'.
Gold in global markets, which normally sets the price trend on the domestic front, added USD 13.20 to USD 1,679.80 an ounce in New York.
Besides, fresh buying by stockists and jewellers to meet the ongoing festivals further fuelled the uptrend. On the domestic front, gold of 99.9 and 99.5 per cent added Rs 45 each to Rs 27,165 and Rs 27,025 per 10 grams, respectively. The metal had gained Rs 110 yesterday. Sovereigns held steady at Rs 22,000 per piece of eight grams in limited deals.
On the other hand, silver ready remained under selling pressure and declined by Rs 250 to Rs 53,550 per kg, while silver weekly-based delivery rose by Rs 160 to Rs 53,370 per kg on speculative support.
Silver coins continued to be asked around previous level of Rs 62,000 for buying and Rs 63,000 for selling of 100 pieces.
In Mumbai bullion market, gold rallied further on increased investment demand as well as jewellery offtake amid festivities, triggered by a bullish global trend.
Silver rebounded following fresh speculative buying and industrial demand.
Standard gold (99.5 purity) rose by Rs 130 per 10 grams to end at Rs 26,780 from Friday's close of Rs 26,650. Pure gold (99.9 purity) spurted by Rs 125 per 10 grams to close at Rs 26,905 from Rs 26,780 yesterday.
Silver ready (.999 fineness) climbed by Rs 340 per kg to finish at Rs 53,820 as compared to Rs 53,480 previously. In New York, gold rose on optimism over positive US retail sales data.
Gold for December delivery added 14.50 to settle at USD 1,683 an ounce on the Comex division of NYMEX. December silver were up 51 cents to USD 32.17 an ounce.