Gold shot up by Rs 120 to Rs 31,200 per 10 gram at the bullion market today due to increased buying by local jewellers amid a firm global trend.

However, silver held steady at Rs 38,300 per kg on scattered enquiries from industrial units and coin makers.

Traders said gold rose on increased buying by local jewellers to meet the ongoing festive season demand and a firm global trend.

Globally, gold was up by 0.48 per cent to USD 1,206.30 an ounce and silver by 0.24 per cent to USD 14.73 an ounce in New York in yesterday’s trade.

Moreover, a depreciating rupee which plunged to a fresh record low of 70.82 against the dollar (intra-day), making imports costlier, supported the upmove, they said.

In the national capital, gold of 99.9 per cent and 99.5 per cent purity rebounded by Rs 120 each to Rs 31,200 and Rs 31,050 per 10 gram, respectively. It had shed Rs 70 in yesterday’s trade.

Sovereign gold however remained flat at Rs 24,500 per piece of eight gram.

On the other hand, silver ready held steady at Rs 38,300 per kg, while weekly-based delivery edged up by Rs 5 to Rs 37,080 per kg.

Silver coins however continued to trade at previous level of Rs 73,000 for buying and Rs 74,000 for selling of 100 pieces.