Gold and silver prices dip further

Though investors are worried, jewellers said the trend was temporary and prices would stabilise soon

Though investors are worried, jewellers said the trend was temporary and prices would stabilise soon -- File Photo

Jewellery showrooms in the city continued to record robust sales on Tuesday as prices of gold and silver dipped further.

On Tuesday evening, a gram of 22-carat gold sold for Rs. 2,441, which is Rs. 68 less than the previous day’s rate. In the last five days alone, the price of the precious metal has dipped by Rs. 2,552 per sovereign. On Tuesday, a sovereign of gold sold for Rs. 19,528.

Besides the usual wedding crowd, the dip in prices had attracted others buyers to showrooms, said jewellers. Buoyed by the reduced rates, people were buying ornaments of greater weightage.

The strong global equity market has led to the drop in international prices of the yellow metal. This trend may continue for a few more weeks before the price stabilises.

The cost of silver too has come down, as a result. A gram sold at Rs. 45.49 on Tuesday. The price of silver has decreased by Rs. 10 per gram over the past ten days. Jewellery apart, many customers are buying gold and silver coins to reap the benefits of the slump in prices.

Though some investors expressed concerns over the reduced prices, jewellers said the trend was temporary and the situation would stabilise in a few weeks.