Gold prices fall today, silver edges lower1 min read . Updated: 16 Oct 2018, 03:25 PM IST
Gold prices fell by ₹70 on Tuesday mainly due to slowing demand from local jewellers and muted global cues
New Delhi: Gold prices today fell by ₹ 70 mainly due to slowing demand from local jewellers and muted global cues. Gold rates in global markets remained steady near two-month high as risk-averse investors sought refuge in the metal amid rising political tensions and economic uncertainty. In Delhi, gold rate of 99.9% fell by ₹ 70 to ₹ 32,180 per 10 gram, while 99.5% purity lost ₹ 80 to ₹ 32,020 per 10 gram, reported PTI. The yellow metal had gained ₹ 200 Monday. Sovereign gold remained steady at ₹ 24,700 per piece of 8 gram.
Following gold, silver prices eased by ₹ 50 due to lower demand from industrial units and coin makers. Silver ready slipped by ₹ 50 to ₹ 39,700 per kg, while weekly-based delivery’s decline was steeper, which fell by ₹ 160 to ₹ 39,100 per kg, the report added. Silver coins, however, continued to be traded at the previous level of ₹ 75,000 for buying and ₹ 76,000 for selling of 100 pieces.
Global spot gold rate was little changed at $1,226.71 an ounce. It touched $1,233.26 on Monday, its highest since July 26. US gold futures were flat at $1,230.40 an ounce. Despite the recent rally in global gold rates, price of the precious metal remains down nearly 10% from its April peak. Gold, seen as a safe store of value during political and economic uncertainty, remains down nearly 10% from its April peak after investors preferred the dollar as the US-China trade war unfolded against a background of higher US interest rates.
“While the sell-off in stocks rekindled some demand, there were other key factors in play. With escalating trade tensions, concerns over slowing global growth, geopolitical tensions and U.S. mid-term election jitters in the mix, gold has a chance to shine," Reuters quoted Lukman Otunuga, Research Analyst for FXTM as saying. “While the risk-off trading environment is poised to send gold higher in the near term, the medium- to longer-term outlook remains dictated by the dollar and U.S. rate hike expectations."
With inputs from agencies