NEW DELHI, Dec 2: Gold prices fell Rs 200 to Rs 79,200 per 10 grams in the national capital on Monday amid weak trends in the international markets, according to the All India Sarafa Association.
The yellow metal of 99.9 per cent purity closed at Rs 79,400 per 10 grams on Friday.
Silver also plummeted Rs 2,200 to Rs 90,000 per kg due to reduced offtake by industrial units and coin makers. It had closed at Rs 92,200 per kg in the previous trading session.
Price of gold of 99.5 per cent purity slipped Rs 200 to Rs 78,800 per 10 grams. The precious metal ended at Rs 79,000 per 10 grams on Friday.
Meanwhile, in futures trade on the MCX, gold contracts for December delivery fell Rs 478, or 0.63 per cent, to trade at Rs 75,896 per 10 grams.
Silver contracts for December delivery slumped Rs 574, or 0.65 per cent, to Rs 88,307 per kg. During the day, the white metal declined Rs 1,081, or 1.22 per cent, to hit an intra-day low of Rs 87,800 per kg on the Multi Commodity Exchange (MCX).
Globally, Comex gold futures fell USD 23.50 per ounce, or 0.88 per cent, to USD 2,657.50 per ounce.
“Gold continued its downward trajectory, after hitting an intra-day low of USD 2,621 during the Asian session.
“The decline was driven by a recovery seen in US dollar, fuelled by rising US Treasury bond yields and inflationary concerns tied to President-elect Donald Trump’s proposed tariffs,” Maneesh Sharma, AVP – Commodities & Currencies, Anand Rathi Shares and Stock Brokers, said.
According to Kaynat Chainwala, AVP-Commodity Research, Kotak Securities, last week comex gold closed on a weaker note as safe-haven demand faded, following a ceasefire agreement between Israel and Hezbollah in Lebanon.
Also, concerns about persistent inflation have raised doubts about the pace of rate cuts next year, Chainwala said.
Silver, too, fell 1.36 per cent at USD 30.69 per ounce in the Asian market hours.
“Markets are closely monitoring escalating Ukraine-Russia tensions and looking ahead to US manufacturing PMI data to be released later on Monday.
“Further, key addresses from Fed officials, including Federal Reserve (Fed) Chair Jerome Powell, are also in focus as markets anticipate the December rate decision,” Abans Holdings’ Chief Executive Officer Chintan Mehta, said.
While participation in gold has decreased compared to previous levels, prices may strengthen as investors increase their exposure, Mehta stated.
Traders believe gold prices will rise further, though a potential delay in additional interest rate cuts could trigger short-term declines — presenting an opportunity to accumulate, he added. (PTI)
Follow our WhatsApp channel
