Gold surges most in over two weeks on seasonal demand

New Delhi, Oct 16. Gold gained the most in over two weeks in the bullion market today on increased buying by stockists and retail customers for the ongoing festival and marriage season, amid volatile trade in global markets. Gold prices surged by Rs 650 to Rs 31,200 per ten gram on heavy purchases by stockists and retailers for the marriage season and approaching 'Diwali' festival. Silver followed suit and rose by Rs 230 to Rs 47,280 per kg on increased buying by industrial units and coin makers. Silver coins shot up by Rs 2,000 to Rs 85,000 for buying and Rs 86,000 for selling of 100 pieces. Silver coins normally used for pooja on Diwali and gifting purpose in marriages. A volatile trade in global markets as Senators resumed talks to avoid US default and end a partial government shutdown further influenced the sentiment. Gold in London, which normally sets price trend on the domestic front, remained uncertain and fell 0.2 per cent to USD 1,279.28 an ounce after reaching USD 1,251.85 yesterday. On the domestic front, gold of 99.9 and 99.5 per cent purity surged by Rs 650 each to Rs 31,200 and Rs 31,000 per ten gram. Sovereign held unchanged at Rs 25,100 per piece of eight gram. Silver ready rose by Rs 230 to Rs 47,280 per kg and weekly-based delivery by Rs 1,200 to Rs 47,950 on increased buying by speculators.