Gold, Silver Prices Slip Amid Festive Buying in India
Similarly, gold of 99.5% purity also declined by Rs 900, reaching Rs 98,100 per 10 grams from the previous close of Rs 99,000 per 10 grams.Similarly, gold of 99.5% purity also declined by Rs 900, reaching Rs 98,100 per 10 grams from the previous close of Rs 99,000 per 10 grams.
Gold prices in Delhi fell sharply by Rs 900 to Rs 98,550 per 10 grams on Wednesday, following a weak trend in international markets, according to the All India Sarafa Association. The precious metal of 99.9% purity had closed at Rs 99,450 per 10 grams on Tuesday.
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Similarly, gold of 99.5% purity also declined by Rs 900, reaching Rs 98,100 per 10 grams from the previous close of Rs 99,000 per 10 grams.
Akshaya Tritiya Buying Cushions Deeper Fall
Despite the dip, increased consumer buying on the occasion of Akshaya Tritiya helped cap the decline in gold prices. The festival, considered an auspicious time to buy gold and other valuables, saw strong demand.
Jewellers expect around a 35% increase in sales value compared to last year, driven mainly by higher prices. However, in terms of volume, gold sales are expected to stay flat at around 20 tonnes.
Last year, gold prices were much lower, at Rs 72,300 per 10 grams on Akshaya Tritiya (May 10, 2024).
Silver Prices Plummet by Rs 4,000
Silver also witnessed a sharp correction, with prices falling by Rs 4,000 to Rs 98,000 per kg, compared to the previous close of Rs 1,02,000 per kg on Tuesday.
Global Market Trends Weigh on Prices
In the international market, spot gold dropped USD 43.35 or 1.31% to USD 3,273.90 per ounce. Meanwhile, spot silver was quoted 1.83% lower at USD 32.33 per ounce.
According to Kaynat Chainwala, AVP-Commodity Research at Kotak Securities, the decline extended after US President Donald Trump signed an executive order related to auto tariffs and cited progress in trade negotiations. This added pressure on precious metal prices globally.
Traders Eye Upcoming US Economic Data
Gold futures for June delivery plunged by Rs 1,639 or 1.71% to trade at Rs 93,953 per 10 grams on the Multi Commodity Exchange (MCX).
Chintan Mehta, CEO of Abans Financial Services, said that traders are now closely watching key US economic indicators, including the first estimate of Q1 GDP, PCE inflation data, and April jobs figures. These upcoming reports could provide new cues on the Federal Reserve’s next monetary policy moves and broader economic trends.
