Gold Prices have been declining day after day and have fallen Rs 750 in just 5 days due to lower demand for the yellow metal in the Indian markets. On the other hand, silver prices have fallen Rs 1,450 in the same five-day period under review. A sharp drop in the prices of precious metals is also due to the weaker trend in the overseas market. Over the period of last five days, gold has suffered a loss of Rs 750 and is now available at Rs 29,750 per 10 gram whereas silver witnessed a massive slide of Rs 1,450 and is now available at Rs 37,700 per kilogram. In Friday’s bullion market, gold prices fell Rs 200 while silver prices shed as much as Rs 425. Silver prices are likely falling due to reduced offtake by the industrial units and coin makers, according to a PTI report.
The fall in the prices of precious metals, gold and silver is due to the slump in prices in the international market. In the overseas market, gold is heading for the biggest weekly drop since May 2017 as investors anticipate higher US interest rates, and progress on tax reform which is likely to strengthen the US dollar, eroding the safe-haven appeal of the precious metal, PTI report said.
Meanwhile, gold for immediate delivery has slumped 2.5% this week, the most since the five days ended 5 May 2017. “A considerable fall in demand from jewellers and retailers at the domestic spot market put pressure on the prices,” PTI reported. Globally, gold rates fell 1.27% to $1,247.80 an ounce and silver by 1.41% to $15.70 an ounce in New York on Thursday.
In the national capital territory, Delhi, gold prices of 99.9% and 99.5% purity fell further by Rs 200 each to Rs 29,750 and Rs 29,600 per 10 grams, respectively on Friday. Silver dived Rs 425 to Rs 37,700 per kilogram. At the Multi Commodity Exchange, the gold futures contract for delivery on 5 February 2018 fell Rs 102 or 0.37% to Rs 28,565 while gold futures for delivery on 5 April 2018 fell Rs 173 or 0.6% to Rs 28,556.