Mumbai: Gold prices witnessed a smart rebound an otherwise quiet and lacklustre trading during the truncated week following renewed demand from stockists and retailers amid heightened global volatility.
Despite a subdued start to the week, yellow metal found enough support at lower levels and bounced back with strength on the back of good demand from jewellers and retail consumers ahead of festivities even as the metal strengthened in global markets.
Moreover, better overseas sentiment alongside weakness in equities further bolstered domestic sentiment.
The industrial metal, silver also regained some lost ground on good speculative offtake as well as industrial demand.
Market remained closed on Monday in view of "Bakri Id.
On the global front, the shiny-metal showcased a remarkable recovery and closed above the psychologically significant USD 1,200 an ounce mark on easing fears of an imminent rate hike amid growing worry over Europe and other overseas economies.
Gold for December delivery shot up to finish at USD 1,221.70 an ounce on the Comex division of the NYMEX against last weekend's level of USD 1,192.90 and silver rallied to USD 17.30 against USD 16.82 an ounce previously.
On the domestic front, standard gold (99.5 purity) resumed better at Rs 26,610 and firmed up further to Rs 26,960 before concluding at Rs 26,935 compared to preceding weekend's close of Rs 26,560, showing a rise of Rs 375, or 1.41 percent per 10 grams.
Pure gold (99.9 purity) also commenced modestly higher at Rs 26,760 from last close of Rs 26,710 and strengthened further to Rs 27,110 before ending at Rs 27,085, revealing a gain of Rs 375, or 1.40 percent per 10 grams.
Silver (.999 fineness) opened sharply higher at Rs 39,605 and hovered between Rs 39,615 and Rs 39,070 before ending at Rs 39,360 against last Saturday's close of Rs 39,125 exhibiting a modest rise of Rs 235 per kg.
