Silver plunges Rs1,100, gold remains flat

New Delhi: Gold prices ruled flat at Rs71,350 per 10 grams while silver prices declined by Rs1,100 per kg in the local market here on Thursday, according to the All India Sarafa Association. Silver prices plunged by Rs1,100 to Rs81,100 per kg on decreased offtake by coin makers and industrial units. The metal closed at Rs82,200 per kg in the previous session. In the national capital, gold of 99.9 per cent and 99.5 per cent purity remained flat at Rs71,350 and 71,000 per 10 grams, respectively.

On the global front, gold at Comex was quoted at $2,396 per ounce, up by $3 from the prior day. “Comex gold traded steady after the past few days’ wild swing. Investors are inclined toward safe-haven assets with risk-averse sentiments while the weaker dollar index and US Treasury yield augur well for the gold prices,” Dilip Parmar, Research Analyst at HDFC Securities, said.

According to Chintan Mehta, Chief Executive Officer at Abans Holdings, the prices of the yellow metal remain firm as optimism surrounding the imminent interest rate cut from the Federal Reserve (Fed) has made the non-yielding asset attractive as a hedge against inflation.