Prices of precious metals declined slightly in the domestic market on Monday. Gold prices fell by ₹10 to ₹1,48,080 per 10 grams in the national capital, continuing the recent trend of mild corrections. Meanwhile, silver prices dropped more sharply by ₹100 to ₹2,44,900 per kilogram, reflecting a broader weakness in the precious metals segment.
The decline in prices is largely attributed to softening international rates. In global markets, gold traded lower as the US dollar strengthened, making the metal less attractive for investors holding other currencies. Additionally, easing demand for safe-haven assets contributed to the downward pressure on prices.
Market analysts noted that recent volatility in global markets, including fluctuations in bond yields and currency movements, has impacted investor sentiment towards precious metals. While geopolitical tensions typically support gold prices, current trends indicate some profit booking by investors after earlier gains.
Silver, which often tracks both industrial demand and investment trends, also witnessed a dip. Weakness in industrial demand outlook, coupled with global uncertainty, weighed on the metal’s performance.
Despite the fall, experts suggest that prices remain at relatively elevated levels compared to historical averages. The recent correction is seen as part of a broader consolidation phase rather than a sharp downturn.
In the domestic market, jewellers reported moderate demand, with buyers remaining cautious amid price fluctuations. Seasonal demand has also been relatively muted, contributing to limited support for prices.
Looking ahead, market participants are expected to closely monitor global economic indicators, including inflation data and central bank policies, which could influence the direction of gold and silver prices. Currency movements, particularly the strength of the US dollar, will also play a crucial role.
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