New Delhi: Gold prices today plunged by 250 to trade at an over five-month low of 30,800 per 10 grams amid weak global cues and slow demand from local jewellers, reported PTI. Globally, gold rate extended its downtrend, sinking to the lowest in a year on a buoyant dollar and falling oil prices, but some analysts said bullion is close to bottoming out. Global gold prices have shed over 10% since touching a peak of $1,365.23 an ounce in mid-April, weighed down by a stronger dollar, rising US interest rates and trade tensions.

In Delhi, gold rates of 99.9% and 99.5% purity declined by 250 each to 30,800 and 30,650 per 10 grams, respectively, a level last seen on 8 February. Following the yellow metal, silver prices dropped by 620 to 39,200 per kg on poor offtake by industrial units and coin makers, added the report. Silver coins, on the other side, were unaltered at 74,000 for buying and 75,000 for selling of 100 pieces in scattered deals.

Global spot gold rate was down 0.3% at $1,223.11 an ounce after touching its weakest since 14 July last year at $1,220.81 an ounce. US gold futures for August delivery shed 0.3% at $1,223.30 an ounce.

The Indian rupee weakened against the US dollar, tracking losses in Asian currencies after US Federal Reserve chairman Jerome Powell’s positive assessment of the US economy boosted the dollar. The rupee opened at 68.39 a dollar and touched a high and a low of 68.38 and 68.59, respectively.

The dollar rose across the board, climbing to a six-month high against the yen, after Powell gave an upbeat outlook for the US economy. Oil benchmark Brent crude hit a three-month low after a rise in US crude inventories highlighted increasing global supply and concerns over weak demand.

With inputs from agencies