Gold prices rally above Rs 32,000 on firm global cues, silver regains Rs 42,000

Gold prices added Rs 330 to reach Rs 32,190 per 10 grams at the bullion market on Friday as persistent buying by local jewellers offset mixed cues from global markets, boosting the yellow metal.

Silver followed suit and reclaimed the Rs 42,000-mark by rising Rs 450 to Rs 42,400 per kg due to increased offtake by industrial units and coin makers.

"Apart from a firm trend overseas, where the dollar weakened amid trade war worries between the US and China, brisk buying by local jewellers at the domestic spot market mainly pushed up gold and silver prices," said traders to PTI.

In New Delhi, gold of 99.9 per cent and 99.5 per cent purity spurted by Rs 330 each to Rs 32,190 and Rs 32,040 per 10 gram, respectively. The precious metal had lost Rs 90 in yesterday's trade.

Sovereign, however, remained steady at Rs 24,800 per piece of eight grams.

Globally, Gold prices slipped from a one-month high hit in the previous session as investors booked profits and the dollar strengthened, while worries over US-China trade dispute capped losses.

Spot gold fell 0.3 percent to $1,298.25 per ounce at 0704 GMT, after reaching its highest since May 15 at $1,309.30 an ounce on Thursday.

US gold futures for August delivery were down 0.5 percent at $1,301.50 per ounce.

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Gold rose 0.24 per cent to $1,301.90 an ounce and silver gained 0.74 per cent to $17.13 an ounce in New York in yesterday's trade.

The rupee depreciation against the dollar, making imports of the yellow metal costlier, also supported the upside in prices, experts said.

In sync with gold, silver ready climbed Rs 450 to Rs 42,400 per kg and weekly-based delivery spurted by Rs 370 to Rs 41,495 per kg.

Silver coins, however, remained unaltered at Rs 76,000 for buying and Rs 77,000 for selling of 100 pieces.