Gold plunges by Rs 861/10 gm, silver by Rs 1,709/kg

Gold plunges by Rs 861/10 gm, silver by Rs 1,709/kg

NEW DELHI: Gold in the national capital on Thursday plunged Rs 861 to Rs 46,863 per 10 grams reflecting muted global trends, according to HDFC Securities.

In the previous trade, the precious metal had closed at Rs 47,724 per 10 grams.

Silver also declined Rs 1,709 to Rs 68,798 per kg, from Rs 70,507 per kg in the previous trade.

In the international market, gold was trading lower at USD 1,810 per ounce and silver was flat at USD 26.89 per ounce.

HDFC Securities Senior Analyst (Commodities) Tapan Patel said, “Gold prices traded under pressure witnessing overnight selling after the US Federal Reserve’s comments. The hawkish stance pushed dollar higher against major currencies triggering selling in gold prices.”

The stronger dollar may continue to pressure gold prices dampening safe haven demand for the short term, he added.

Motilal Oswal Financial Services Vice-President (Commodities Research) Navneet Damani said, “Gold prices languished as the dollar and the US Treasury yields jumped after US Federal Reserve officials projected interest rate hikes sooner than expected.”

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