Gold Slips to Rs 1,49,600 in Delhi, Silver Stays at Rs 2.27 Lakh

Gold prices declined Rs 200 per 10 grams in the national capital on Tuesday, weighed down by subdued retail demand and an elevated US dollar, while silver prices remained unchanged for the second consecutive session.

The price of 99.9 per cent pure gold fell to Rs 1,49,600 per 10 grams, from Rs 1,49,800 per 10 grams on Monday, according to local traders. Silver, however, remained steady at Rs 2.27 lakh per kilogram, inclusive of all taxes, marking its second consecutive session at the same level.

Saumil Gandhi, Senior Analyst - Commodities at HDFC Securities, said gold prices edged lower in the domestic market amid weak global cues and subdued retail demand during the Pitru Paksha period.

During Pitru Paksha, consumers traditionally refrain from purchasing auspicious items such as gold, jewellery, property and other luxury goods, Gandhi said. In international markets, spot gold traded marginally higher at USD 4,149.44 an ounce, while silver was flat at USD 61.01 an ounce.

Praveen Singh, Head of Commodities at Mirae Asset Sharekhan, said spot gold was trading with gains at around USD 4,151 per ounce in overseas markets as the US dollar and crude oil prices eased.

Singh said movements in the US dollar and crude oil prices would remain key factors influencing gold prices in the near term. He expects the precious metal to remain range-bound, with a slight bearish bias, as investor risk appetite remains healthy.

Gold is generally considered a safe-haven asset, but stronger risk appetite can reduce demand for the precious metal. Market participants are likely to track movements in the dollar, crude oil and global risk sentiment for further cues on bullion prices.

Domestic demand trends, particularly ahead of the festive season, could also influence gold prices in the coming sessions, while silver prices may take cues from both precious-metal demand and broader commodity market trends.