Gold prices down Rs 150 today as demand eases, silver rates fall
Gold prices fell for the second straight day and were down Rs 150 following negative trend in global markets
New Delhi: Gold prices fell for the second straight day and were down Rs 150 following negative trend in global markets amid waning demand from local jewellers. Global gold prices edged lower as equities and the US dollar rose amid waning risk-averse sentiment, with investors awaiting minutes from the US Federal Reserve’s latest policy meeting for fresh clues on the pace of interest rate hikes. In Delhi, gold rates of 99.9% and 99.5% purity fell by Rs 150 and Rs 140 to Rs 32,030 and Rs 31,880 per 10 grams, respectively, reported PTI. Sovereign gold continued at Rs 24,700 per piece of eight gram in limited deals.
Global spot gold rate was down 0.2% at $1,222.74 per ounce, but still near a 2-1/2-month high of $1,233.26 per ounce hit on Monday. US gold futures were down 0.4 percent at $1,226.6 an ounce. Silver rates dipped 0.5% to $14.57 per ounce.
Following gold, silver prices declined further by Rs 220 per kg on reduced offtake by industrial units and coin makers, added the PTI report. Silver ready too dropped further by Rs 220 to Rs 39,480 per kg and weekly-based delivery by Rs 240 to Rs 38,860 per kg. Silver coins, however, maintained a steady trend at Rs 75,000 for buying and Rs 76,000 for selling of 100 pieces.
“The newly minted gold bulls are getting nervous as they haven’t bought at good levels. They were in pretty much at the top and we see those guys exiting the market,” Reuters quoted Stephen Innes, APAC trading head at OANDA in Singapore as saying. “The current case of interest rates normalisation is quite cemented and this is taking a little bit of the froth off gold markets.”
Asian equities rose and the dollar strengthened against most major peers after upbeat US earnings reports drove a rebound on Wall Street and reduced global appetites for safe-haven assets. The rupee fell against the dollar, tracking losses in local equity markets. At 4.11pm, the rupee was trading at 73.65, down 0.24% from its previous close.
With inputs from agencies
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