New Delhi: Gold prices tumbled by 290 to 30,340 per 10 grams on Thursday dragged by weak trend overseas and falling demand from local jewellers, reported PTI. In global markets, gold prices also remained weak but clawed back from a 19-month low. Short-covering and a slight softening of the US dollar, following news that US and China will hold trade talks late this month, helped global prices to pullback slightly after falling to 19-month low. Global gold prices, which have largely been pressured by a strong dollar and rising US interest rates, have shed nearly 10% in 2018.

In Delhi, gold prices of 99.9% and 99.5% purity plunged by 290 each to 30,340 and 30,190 per 10 grams, respectively. Sovereign also declined by 100 to 24,500 per piece of eight grams.

Global spot gold rate was up 0.1% at $1,175.07 an ounce. Earlier in the session, amid a broad commodity sell-off and some stop-loss selling spot prices fell as much as 1.2% to $1,159.96, the lowest since January 2017, traders said.

In line with gold, domestic silver prices declined by 715 to 38,000 per kg due to poor offtake by industrial units and coin makers, the PTI report added. Silver coins, too, plummeted by 1,000 to 72,000 for buying and 73,000 for selling of 100 pieces.

China will send vice commerce minister Wang Shouwen to the US for trade talks in late August, the first official exchanges since earlier negotiations broke down two months ago. Meanwhile, the White House said new tariffs on Turkish goods would remain and President Recep Tayyip Erdogan received a financial lifeline from Qatar that should buy him time in the standoff.

Asian stocks largely reversed losses and US equity futures climbed with Treasury yields, after US and China agreed to resume trade talks in late August. The dollar slipped and the yuan climbed.

The Indian rupee plunged to a fresh record low of 70.40 a dollar after the country’s trade deficit widened to a five-year high as petroleum imports surged. The currency opened at 70.25 and touched an all time low of 70.40 a dollar. So far this year, the rupee has weakened 9.15%.

With inputs from agencies