Gold prices today lost Rs 210 to slip below the psychological Rs 31,000 mark at Rs 30,790 per 10 grams on heavy selling by stockists, triggered by weak overseas markets. Silver followed suit and dropped by Rs 1,015 to Rs 57,850 per kg on poor offtake by industrial units.
Trading sentiment turned bearish after gold fell in the global markets to the lowest in more than a month as the strong dollar reduced demand for the metal as an alternate investment.
In Singapore, gold fell 0.3 per cent to $1,642.90 an ounce, the cheapest since January 4, and silver by 0.7 per cent to $30.73 an ounce, its lowest level since January 28.
In addition, investors were seen shifting funds from the weakening bullion to the strengthening equities, and retail customers refrained from purchasing as expectations of more corrections hit sentiment.
On the domestic front, gold of 99.9 and 99.5 per cent purity tumbled by Rs 210 each to Rs 30,790 and Rs 30,590 per 10 grams, respectively. However, sovereigns remained steady at Rs 25,350 per piece of eight grams in limited deals.
In line with the weak general trend, silver dropped by Rs 1,015 to Rs 57,850 per kg and weekly-based delivery by Rs 810 to Rs 57,500 per kg. Silver coins also plunged by Rs 2,000 to Rs 81,000 for buying and Rs 82,000 for selling of 100 pieces.