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Gold of 99.9 and 99.5 per cent purity fell by Rs 60 each to Rs 27,000 and Rs 26,850 per 10 grams, respectively.
Gold prices rose by Rs 160 to Rs 26,860 per ten grams at the bullion market on Monday.
Gold for delivery in October dropped Rs 186 or 0.68 per cent to Rs 27,262 per 10 gm in a business turnover of 277 lots at the Multi Commodity Exchange.
Gold prices drifted for the second straight day by losing another Rs 330 to Rs 27,030 per ten grams at the bullion market on Wednesday.
Tracking gold, silver also extended its rally for the eighth day and gained another Rs 30 at Rs 36,130 per kg.
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