After hitting an all-time high level, gold prices on Tuesday fell Rs 50 to Rs 68,370 per 10 grams in the local market, following weak trends in the international markets, according to HDFC Securities. In the previous session, the precious metal closed at Rs 68,420 per 10 grams.
However, silver prices climbed Rs 430 to Rs 79,000 per kg. In the previous session, it had settled at Rs 78,570 per kg.
In the overseas markets, spot gold at COMEX was trading at USD 2,255 per ounce, down by USD 2 from the previous close.
“After reaching an all-time high in the previous session, gold prices slightly retreated on Tuesday, as traders began to doubt the US Federal Reserve’s decision to lower interest rates following solid US manufacturing data.
“Meanwhile, the US dollar index rallied to a five-month high, which also weighed down on the precious metal prices,” Saumil Gandhi, Senior Analyst of Commodities at HDFC Securities.
However, silver prices were higher at USD 25.55 per ounce. Its previous close was USD 25.13 per ounce. Going forward, traders anticipate that bullion prices will consolidate in the upper-end range, with a positive bias, and an uptrend will resume once COMEX spot gold crosses the USD 2,270 level, Gandhi added.