New Delhi: Gold prices surged to a 10-week high by adding Rs 240 to trade at Rs 23,050 per 10 grams on Wednesday on increased buying by stockists and investors, driven by a firm trend overseas.

In line with the general firming trend, silver recovered by Rs 1,800 to Rs 55,000 per kg on increased offtake by industrial and coin manufacturing units.

Silver coins also followed suit and shot up by Rs 2,000 to Rs 62,000 for buying and Rs 63,000 for selling of 100 pieces.

Trading sentiment turned bullish as gold climbed USD 12.90 to USD 1,567.55 an ounce in global markets as concerns that the escalating debt crisis in Europe may slow-down global economic growth, boosted the metal's demand as an alternative investment.

The white metal moved up by one per cent to USD 36.46 an ounce.
On the domestic front, gold of 99.9 and 99.5 per cent purity surged by Rs 240 each to Rs 23,050 and Rs 22,930 per 10 grams, respectively, a level last seen on April 30.

The yellow metal had gained Rs 425 in last three trading sessions.

Sovereigns followed suit and gained Rs 50 to Rs 18,800 per piece of eight grams.

Silver ready recovered by Rs 1,800 to Rs 55,000 per kg and weekly-based delivery added Rs 1,700 to Rs 54,900 per kg.

The metal had lost Rs 1,320 in the previous session.

(Agencies)