Weekly wrap: After early surge, gold prices fall for last 3 days; silver drops too
Gold set off to a brighter start at the beginning of the week as the price of the precious metal went up by ₹278 to ₹46,013 per 10 grams on Monday.
The prices of gold and silver continued to remain volatile throughout the week. While silver plunged by ₹2,007 to ₹67,419 per kg in New Delhi on Friday, gold price also fell by ₹342 to ₹45,599 per 10 grams, recording three straight days of decline.
Experts attributed the plunge in gold prices to a stronger dollar and elevated US treasury yields, according to a Reuters report. Gold set off to a brighter start at the beginning of the week as the price of the precious metal went up by ₹278 to ₹46,013 per 10 grams. Silver prices also rose by ₹265 to ₹68,587 per kg on Monday. The rise in the prices of the precious metals was attributed to the recovery in international prices, news agency PTI reported citing data from HDFC Securities. Investors also were driven towards the precious metal as they expected rising inflation.
Recovery in global gold prices also helped the precious metal gain ₹337 to ₹46,372 per 10 grams on Tuesday in the national capital. Silver prices also shot up by ₹1,149 to ₹69,667 per kg. On Wednesday, following overnight selling in global prices and rupee appreciation, gold prices saw a marginal fall of ₹148 to ₹46,307 per 10 grams in Delhi.
The decline in prices continued on Thursday as well as gold prices fell by ₹358 to ₹45,959 per 10 grams. Silver prices saw a slight rise of ₹151 and settled at ₹69,159 per kg at the end of the session.
The fall in gold prices led to buying and a surge of demand across the country. “Consumers are quite comfortable with the current price level. There is good demand for jewellery from retail buyers,” Harshad Ajmera, the proprietor of JJ Gold House, a wholesaler from Kolkata told news agency Reuters.