Taking a cue from gold, silver prices also fell by Rs 2,000 to Rs 83,800 per kilogram on Monday due to subdued demand from industrial units and coin makers, according to the All India Sarafa Association.
In the previous session, the silver metal had closed at Rs 85,800 per kg.
Meanwhile, gold with 99.5 per cent purity also fell Rs 500 to Rs 73,350 per 10 grams from Rs 73,850 at the previous close.
Domestically, traders attributed the decline in yellow metal prices to weak demand from local jewellers amid a weak trend overseas.
Globally, Comex Gold Gold is trading lower on Monday as mixed US jobs data raised doubts about the size of gold. Federal Reserve‘s coming soon interest rate cuts“said Saumil Gandhi, senior commodity analyst at HDFC Securities. According to Manav Modi, senior commodity research analyst, Motilal Oswal Financial ServicesGold prices eased toward the end of last week, retreating from a record high after mixed jobs data and comments from some Fed officials casting doubt on a rate cut at the next meeting.
Traders are awaiting this week’s US macroeconomic data reports, including inflation and producer price index (PPI), to gauge the Federal Reserve’s next move on interest rates, Modi added.
However, silver prices are trading marginally higher at USD 28.44 per ounce in international markets.
“Gold is holding steady as traders await US inflation data this week amid concerns of a recession, despite Treasury Secretary Janet Yellen’s efforts to ease fears,” said Kaynat Chainwala, executive vice president, commodities research, Kotak Securities.
Yellen said there were no “flashing red lights” in the financial system and reiterated her view that the U.S. economy has reached a soft landing even as job growth weakens.
Maneesh Sharma, assistant vice president, commodities and currencies, Anand Rathi Shares and Stock Brokers, said key policy decisions to be taken by the US Federal Reserve next week will provide insight into precious metal prices.
Disclaimer:
The information contained in this post is for general information purposes only. We make no representations or warranties of any kind, express or implied, about the completeness, accuracy, reliability, suitability or availability with respect to the website or the information, products, services, or related graphics contained on the post for any purpose.
We respect the intellectual property rights of content creators. If you are the owner of any material featured on our website and have concerns about its use, please contact us. We are committed to addressing any copyright issues promptly and will remove any material within 2 days of receiving a request from the rightful owner.