Gold prices maintained an upward trend for the second straight day, gaining Rs 225 to Rs 28,985 per 10 grams at the bullion market today due to firm global cues and increased buying by local jewellers.

On the other hand, silver cracked below the Rs 39,000-mark, down by Rs 500 at Rs 38,800 per kg, due to reduced offtake by industrial units.

Traders said political turmoil in the US reduced the expectations of aggressive interest rate rise this year, pushing down US bond yields and raising the demand for precious metals as a safe haven.

Globally, gold was trading 1.96 per cent higher at $1,260.90 an ounce in New York in yesterday’s trade.

Besides, sustained buying by local jewellers at the domestic spot market supported the uptrend.

In the national capital, gold of 99.9 and 99.5 per cent purity advanced by Rs 225 each to Rs 28,985 and Rs 28,835 per 10 grams, respectively. The precious metal had gained Rs 160 in yesterday’s trade.

Sovereign, however, remained flat at Rs 24,400 per piece of eight grams.

However, silver ready fell Rs 500 to Rs 38,800 per kg and weekly-based delivery shed Rs 135 to Rs 38,865 per kg.

Silver coins, however, jumped by Rs 1,000 at Rs 71,000 for buying and Rs 72,000 for selling of 100 pieces.