Gold declines Rs 1,670 to Rs 1,31,530/10g amid weak global cues
New Delhi, Dec 2: Gold prices plunged Rs 1,670 to Rs 1,31,530 per 10 grams in the national capital on Tuesday, amid weak trends in the international markets, according to the All India Sarafa Association.
The precious metal of 99.9 per cent purity had settled at Rs 1,33,200 per 10 grams in the previous market session.
"Gold edged lower on Tuesday as traders booked profits after prices hit a multi-week high in the previous session, while a cautious approach adopted by traders before the important US macro data due later this week also contributed to the decline," Saumil Gandhi, Senior Analyst - Commodities at HDFC Securities, said. However, silver extended its rally for the sixth straight session and soared Rs 4,360 to Rs 1,81,360 per kilogram (inclusive of all taxes). It had closed at Rs 1,77,000 per kilogram on Monday, as per the association.
Praveen Singh, Head of Commodities, Mirae Asset ShareKhan, said that domestic bullion prices are drawing support from an extremely weak Indian rupee that has slumped to a record low of 89.95 against the US dollar on trade deal uncertainty.
On the global front, spot gold fell by USD 45.17, or 1.07 per cent, to USD 4,187 per ounce, while silver was trading 1.77 per cent lower at USD 56.97 per ounce.
"Gold eased to around USD 4,200 on profit-taking, while silver declined nearly 2 per cent to USD 57 as investors took a breather after the metal's accelerated six-day advance and awaited key US data releases later in the week," Kaynat Chainwala, AVP Commodity Research, Kotak Securities, said.
