Gold prices on Friday fell to Rs 52,560 from Rs 53,000 per 10 gm, while silver was trending at Rs 62,410 per kg, according to the Good Returns website.
Gold jewellery prices vary across India, the second-largest consumer of the metal, due to excise duty, state taxes, and making charges.
In New Delhi, the gold price of 22-carat fell to Rs 49,100 per 10 gm, while in Chennai it dropped to Rs 47,410. In Mumbai, the rate was Rs 49,680 according to the Good Returns website. The price of 24-carat gold in Chennai was Rs 51,720 per 10 gm.
On the MCX, December gold futures slid 0.44 per cent to Rs 50,274 per 10 gm, while silver December futures were at Rs 60,135 per kg.
Gold prices fell Rs 121 to Rs 50,630 per 10 gram in the national capital on Thursday, according to HDFC Securities. The precious metal had closed at Rs 50,751 per 10 gram in the previous trade. Silver prices also declined Rs 1,277 to Rs 60,098 per kilogram from Rs 61,375 per kilogram in the previous trade. “Gold prices traded under pressure with strong dollar recovery which dampened safe-haven demand for gold,” HDFC Securities Senior Analyst (Commodities) Tapan Patel said.
In the international market, gold prices dropped to one-month lows on Thursday, hurt by a stronger dollar and lack of clarity on a U.S. stimulus agreement, while concerns over a spike in Covid-19 cases and uncertainty ahead of U.S. elections limited losses.
“The downturn we are seeing in gold prices is because there is a short-term concern about timing of the stimulus getting approved,” said Jeffrey Sica, founder of Circle Squared Alternative Investments, adding “a strengthening U.S. dollar is impacting gold.”
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