Gold price today fell to Rs 48,050 from Rs 48,220, while silver price was trending at Rs 66,000 per kg, according to the Good Returns website.
Gold jewellery price varies across India, the second-largest consumer of the metal, due to excise duty, state taxes, and making changes.
In New Delhi, the price of 22-carat gold slipped to Rs 44,050 per 10 gm, while in Chennai it fell to Rs 42,280. In Mumbai, the rate was Rs 43,000 according to the Good Returns website. The price of 24-carat gold in Chennai was Rs 46,120 per 10 gm.
Gold prices gained Rs 116 to Rs 44,374 per 10 grams in the national capital on Tuesday reflecting overnight gains in global precious metal prices, according to HDFC Securities.
In the previous trade, the precious metal had closed at Rs 44,258 per 10 grams. Silver, however, declined by Rs 117 to Rs 65,299 per kg compared with Rs 65,416 per kg in the previous trade.
HDFC Securities Senior Analyst (Commodities) Tapan Patel said, “Spot prices for 24 karat gold in Delhi were up by Rs 116 reflecting overnight gains in global gold prices despite of rupee appreciation.” The rupee advanced by 3 paise to 72.34 against the dollar in opening trade on Tuesday.
In the international market, Gold prices slipped on Tuesday as the U.S. dollar strengthened along with Treasury yields, while markets awaited comments on economic health from Federal Reserve Chair Jerome Powell and Treasury Secretary Janet Yellen later in the day.
Safe-haven gold is highly sensitive to rising bond yields as they raise the opportunity cost of holding the bullion.
Spot gold was down 0.3% at $1,734.31 per ounce by 0345 GMT. U.S. gold futures were also down 0.3% at $1,733.70 per ounce.
“We get a little bit of easing in yields that encourages people to step up and buy some gold. Again the afterthought is we have a little bit of higher yields coming up again, so we better sell gold – this is going to be a constant theme,” said Stephen Innes, chief global market strategist at financial services firm Axi.