New Delhi: Muted global rates and sluggish demand from local jewellers sent domestic gold prices lower today. Gold rates fell by 145 to 34,080 per 10 gram at the bullion market today, Press Trust of India reported, citing All India Sarafa Association. Gold prices had slipped 55 on Monday. Tracking gold, silver prices also softened due to low offtake from industrial units and coin makers. Silver prices slipped by 100 to 41,000 per kg, the report said.

In Delhi, prices of gold of 99.9% and 99.5% purities declined by 145 each to 34,080 and 33,930 per 10 gram, respectively. Sovereign, however, remained unaltered at 26,100 per piece of eight gram. Silver ready eased by 100 to 41,000 per kg while weekly-based delivery dropped 158 to 39,829 per kg. Silver coins remained unchanged at 80,000 for buying and 81,000 for selling of 100 pieces.

In global markets, gold prices were steady at $1,312 per ounce. Pressured by renewed dollar strength, gold prices have come off after hitting a nine-month high at $1,326.30 in late January. A stronger greenback makes dollar-denominated gold more expensive for holders of other currencies. In the near term, gold enjoys support at $1,300, say analysts.

Meanwhile, investors will closely watch the progress in trade talks between China and the United States as the world's two largest economies trying to hammer out a deal before a March 1 deadline, after which US tariffs on $200 billion worth of Chinese imports are scheduled to increase to 25% from 10%.

China-US trade tensions have rattled financial markets since last year and also underpinned the dollar's safe-haven appeal.

Meanwhile, U.S. congressional negotiators said late on Monday they had reached a tentative deal on border security funding that would avert another partial government shutdown due to start on Saturday, but provided no details. (With Agency Inputs)

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