Gold prices fall for second day, down ₹110

Bullion traders said muted demand in the domestic market led to the fall in prices of the yellow metal.

Gold prices fell by ₹110 to ₹33,060 per 10 gram on Wednesday, registering its second day of decline amid muted domestic demand, according to the All India Sarafa Association.

Silver, on the other hand, gained ₹20 to ₹39,120 per kg following increased demand from industrial units and coin makers.

Bullion traders said muted demand in the domestic market led to the fall in prices of the yellow metal.

Tapan Patel, senior research analyst (commodities), HDFC Securities, said global bullion prices traded steady on Wednesday after witnessing marginal correction on March 26.

In the international market, gold was trading at $1,315.61 an ounce and silver was at $15.42 an ounce in New York.

“The weak U.S. data on Tuesday also limited downside in gold prices. The U.S. 10-year bond yield declined to 2.41% down from 2.44% on Tuesday morning. The gold holdings at SPDR ETF rose to 784.26 tonnes from previous 781 tonnes signalling safe haven demand,” said Mr. Patel.

In the national capital, gold of 99.9% and 99.5% purities fell by ₹110 each to ₹33,060 and ₹32,890 per 10 gram, respectively.

Gold had shed ₹50 to ₹33,170 per 10 gram on March 26.

Sovereign gold, however, remained unaltered at ₹26,400 per piece of eight gram.

The price of silver ready gained ₹20 to ₹39,120 per kg, while weekly-based delivery fell by ₹82 to ₹38,283 per kg.

Silver coins, however, remained unchanged at ₹80,000 for buying and ₹81,000 for selling of 100 pieces.