Mumbai, Nov 2 (PTI) Gold prices set a new high at the bullion market here today due to heavy demand from stockists and traders driven by a strong rally in overseas markets.
Silver also shot up on the back of fresh industrial demand.
In London, gold rose above USD 1,050 an ounce today as dollar weakness made bullion cheaper for holders of other currencies.
Spot gold gained USD 1,052 an ounce in early trade compared with New York''s notional close of USD 1,044.40 an ounce.
Spot silver traded up at USD 16.50 an ounce from USD 16.27.
In the domestic market, standard gold (99.5 purity) strengthened by Rs 100 per ten grams to close at Rs 16,085 from last Saturday''s closing level Rs 15,985.
Pure gold (99.9 purity) also hardened by Rs 95 per ten grams to end at Rs 16,165 as against Rs 16,070 earlier.
Silver ready (.999 fineness) too rose by Rs 225 per kilo to finish at Rs 26,820 from Rs 26,595 earlier.
The sudden spurt in the yellow-metal was attributed to the meet the surge in demand from retailers and jewellers in view of ongoing marriage season, traders said.