Gold Loses Rs 800, Silver Plummets By Rs 2,000

New Delhi: Gold and silver prices fell sharply in the national capital on Thursday due to a muted demand by jewellers amid a weak global trend, according to the All India Sarafa Association. The precious metal of 99.9 per cent purity plunged Rs800 to Rs78,300 per 10 grams. It closed at Rs79,100 per 10 grams in the previous trading session on Wednesday.

Traders said the bullion prices slipped as the US Federal Reserve Chair Jerome Powell takes a stance after the US central bank decided to cut interest rates. The Fed now projects just two quarter-percentage-point rate reductions by the end of 2025, down from their September estimate of four rate cuts earlier, they added. Silver also plummeted Rs2,000 to Rs90,000 per kg on Thursday.

The white metal settled at Rs92,000 per kg in previous close. The price of gold of 99.5 per cent purity slumped Rs800 to Rs77,900 per 10 grams against the previous close of Rs78,700 per 10 grams on Wednesday. Comex gold futures in the Asian trading session fell $19.10 per ounce, or 0.72 per cent, to $2,634.10 per ounce. Silver quoted 2.47 per cent lower at $29.98 per ounce in the international markets.

“Gold fell sharply post-Federal Open Market Committee (FOMC) meeting as the Fed’s indication of a slower pace of interest rate cuts than previously estimated for the next year,” Saumil Gandhi, Senior Analyst of Commodities at HDFC Securities, said.