In the global market silver rose smartly on emergence of heavy speculative buying following news that production will fall at its Cannington mine, the world's biggest producer of the precious metal, increasing concern global supply may not be able to meet demand. Gold followed suit and attracted good investment buying, dealers said.
Silver for immediate delivery rose by 30 cents to $12.86 an ounce. Standard gold (99.5 purity) closed Rs 55 higher at Rs 9,270 as compared to Rs 9,215 yesterday and pure gold (99.9 purity) rose by Rs 60 to Rs 9,325 from the last close of Rs 9,265. Ready silver (.999 fineness) rallied by Rs 100 to end at Rs 20,145 from the last close of Rs 20,045.
In Hong Kong, gold closed strong at $631.10-632.10 per ounce from yesterday's close of $626.10-627.10.
Elsewhere, at the Comex division of the New York Mercantile Exchange on Tuesday, June gold settled up by $10.30 at $634.20 an ounce, while May silver gained by 78.5 cents at $12.56 an ounce, they added.
