Gold price dips further to Rs 51,340 per 10 grams; silver at Rs 54,000 per kg

Gold prices in the Indian market declined further on Tuesday despite a slight rise in the Asian market in the early hours after the US dollar eased off a 20-year high. The gold prices in India on Tuesday stood at Rs 51,430 for 24-carat gold (10 grams), for 22-carat gold (10 grams), it was Rs 47,150. On average, the gold prices were down by Rs 170. Silver is being sold for Rs 54,000 per kilogram in Chennai, Bengaluru, Hyderabad, and Kerala, which is almost down by Rs 800 on average. The recent falling gold and silver prices have disappointed most Indian investors. On Monday, gold and silver prices fell sharply in India after Fed chairman Jerome Powell hinted that investors could expect high-interest rates to continue for some time to rein in four-decade high inflation.

In the international market, the yellow metal has been seeing a lull for quite some time now. On Monday, the spot gold declined 0.3% to $1,732.17 per ounce and the dollar index rose to a two-decade high of 109.29. A strong dollar makes gold more expensive for those trading in other currencies. Spot silver prices too declined 1% to $18.69 per ounce while platinum shed 1% to trade at $855.27 on Monday. 

Domestic rates 

Most experts in the domestic market are expecting weak trends to continue for some time now. On Tuesday, the price of 10 grams of 24-carat gold in Mumbai and Kolkata is Rs 51,430, while the price of 10 grams of 22-carat gold is Rs 47,150. In Delhi, the price for 24- and 22-carat gold is Rs 51,600 and Rsn47,300 per 10 gm, respectively.  

 Check the latest rates here:

Gold outlook and investment 

As per experts, gold prices might continue to be in the bearish phase and could be vulnerable to some more selling pressure in the coming days. Prices might touch new lows again before bouncing back. In the domestic markets, the prices might be seen at around Rs 52,000 per 10 grams. The new GDP numbers and industrial output data may further impact the gold prices in India, experts added. 

In the international market, gold prices will remain under pressure over Fed’s warnings. The US Fed has already hiked its key overnight interest rate four times this year. Higher interest rates boost the dollar price. And as long as the dollar prices will see an upswing, it will remain a key headwind for gold prices.