Silver and Gold Price: Amid weak domestic demand and sluggish global trends, gold fell by Rs 9,050 to Rs 1.43 lakh per 10 grams in Delhi’s bullion market on Monday, while silver fell by Rs 10,500 to Rs 2.30 lakh per kg. According to All India Bullion Association, gold of 99.9 per cent purity fell by Rs 9,050 (about 6 per cent) to Rs 1,43,600 per 10 grams. Let us tell you that on Friday last week, gold closed at Rs 1,52,650 per 10 grams. Apart from gold, today silver also fell by Rs 10,500 (4.36 percent) to Rs 2,30,000 per kg. Which closed at Rs 2,40,500 per kg on Friday last week.
Why such a huge fall in the prices of gold and silver?
“Last week’s decline in precious metals extended,” said Saumil Gandhi, Senior Analyst (Commodity), HDFC Securities. Spot gold slipped to a four-month low during intraday trading on Monday. He blamed the sharp fall on rising tensions in West Asia, which have pushed crude oil prices higher and raised inflation concerns. This increased the fear of a tight monetary policy stance. “The prospect of tighter monetary policy pushed up US bond yields and strengthened the dollar, adding further pressure on gold and silver,” Gandhi said.
Gold and silver prices fell badly in the international market too
In the international market, spot gold fell by $227.42, or 5.06 per cent, to $4,263.73 an ounce. While silver fell by $ 4.25 or 6.3 percent to $ 63.53 an ounce. Praveen Singh of Mirae Asset Sharekhan said that spot gold continued to fall in foreign markets as rising interest rate expectations impacted prices. He said gold prices fell by more than 10 percent last week, which is the worst weekly fall in more than 40 years.