New Delhi: Gold and silver prices declined sharply in the domestic market on Tuesday as a stronger rupee and weak global trends weighed on investor sentiment, according to media reports.
Gold prices fell by Rs 2,640 to Rs 1,47,000 per 10 grams from Rs 1,49,640 in the previous session, according to the All India Sarafa Association.
Silver also recorded steep losses, dropping Rs 5,200 to Rs 2,24,800 per kg, compared with Rs 2,30,000 per kg on Monday.
According to media reports, the stronger rupee reduced the cost of imported bullion, while investors remained cautious ahead of the US Federal Reserve’s policy decision. Weakness in international bullion markets also added pressure on domestic prices.
Globally, spot gold declined by about 1.3 percent to around USD 4,023.50 per ounce, while spot silver fell 2 percent to USD 57.24 per ounce.
According to media reports, the US dollar strengthened to a one-month high before the Federal Reserve’s policy announcement, reducing demand for precious metals. Market sentiment was also influenced by uncertainty surrounding ongoing diplomatic discussions between the United States and Iran, despite signs of continued negotiations.
Analysts said investors are closely monitoring the Federal Reserve’s policy outcome for signals on future interest rates, which could determine the next direction for gold and silver prices.
