Gold plunges Rs. 861; silver tanks Rs. 1,709
Gold in the national capital on Thursday plunged Rs 861 to Rs 46,863 per 10 grams reflecting muted global trends, according to HDFC Securities.
image for illustrative purpose
New Delhi: Gold in the national capital on Thursday plunged Rs 861 to Rs 46,863 per 10 grams reflecting muted global trends, according to HDFC Securities.
In the previous trade, the precious metal had closed at Rs 47,724 per 10 grams. Silver also declined Rs 1,709 to Rs 68,798 per kg, from Rs 70,507 per kg in the previous trade. In the international market, gold was trading lower at USD 1,810 per ounce and silver was flat at USD 26.89 per ounce. HDFC Securities Senior Analyst (Commodities) Tapan Patel said, "Gold prices traded under pressure witnessing overnight selling after the US Federal Reserve's comments. The hawkish stance pushed dollar higher against major currencies triggering selling in gold prices." The stronger dollar may continue to pressure gold prices dampening safe haven demand for the short term, he added. Motilal Oswal Financial Services Vice-President (Commodities Research) Navneet Damani said, "Gold prices languished as the dollar and the US Treasury yields jumped after US Federal Reserve officials projected interest rate hikes sooner than expected."
Gold futures fall on low demand
Gold prices fell Rs 1,005 to Rs 47,501 per 10 gram in the futures trade on Thursday as speculators reduced their positions amid low demand. On the Multi Commodity Exchange, gold contracts for the August delivery traded lower by Rs 1,005, or 2.07 per cent, to Rs 47,501 per 10 gram in a business turnover of 10,746 lots. Analysts attributed the fall in gold prices to trimming of positions by participants.
