Gold prices rebounded by Rs 1,300 in the national capital on Monday, snapping a three-session losing streak, as traders resorted to value buying after the recent correction in bullion prices.
According to the All India Sarafa Association, gold of 99.9 per cent purity rose by Rs 1,300 to Rs 1,46,600 per 10 grams (inclusive of all taxes), compared to its previous closing price of Rs 1,45,300 per 10 grams on Thursday. Bullion markets remained closed on Friday on account of Muharram.
In contrast, silver continued its downward trend for the fourth consecutive session, declining by Rs 2,000 to Rs 2,24,000 per kilogram (inclusive of all taxes), down from Rs 2,26,000 per kg in the previous session.
Market analysts attributed gold’s recovery to bargain buying by investors, while silver remained under pressure due to weakness in overseas markets.
“Silver prices faced downward pressure in the domestic market on Monday amid ongoing global uncertainties,” said Gaurav Garg, Research Analyst at Lemonn Markets Desk.
In the international market, spot gold declined by USD 54.14, or 1.32 per cent, to USD 4,035.12 per ounce, while silver fell nearly 3 per cent to USD 57.62 per ounce.
Praveen Singh, Head of Commodities and Currencies at Mirae Asset Sharekhan, said crude oil prices and the US dollar index strengthened after renewed US-Iran tensions over the weekend, putting pressure on precious metals.
Analysts said investors are now closely watching key US economic data, including the nonfarm payrolls report and ISM Manufacturing PMI, for further indications on the health of the US economy and the Federal Reserve’s future monetary policy decisions. (Agencies)
