Gold prices fall sharply today, first drop in 3 days; silver rates plunge
Amid a decline in global rates, the prices of gold and silver in India have fallen sharply on Thursday.
According to the Multi Commodity Exchange (MCX), the gold futures have declined by 0.85 percent to Rs 51391 per 10 gram while the silver futures have jumped by 1.4 percent to Rs 67798 per kg.
As per the previous session, gold edged up 0.1 percent while silver had closed flat.
In global markets, the gold prices eased on Thursday. The spot gold was down by 0.3 percent to $1,954.42 per ounce after hitting around a two-week high of $1,973.16 in the previous session.
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Among the other metals, silver dropped by 0.8 percent to $27 per ounce.
The dollar index increased by 0.4 percent against its rivals, due to which gold is more expensive for the holders of other currencies.
Meanwhile, the Federal Reserve policymakers have signaled that their benchmark short-term interest rate is likely to remain at zero at least through 2023 and possibly even longer.
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The lower interest rates decline the opportunity cost of holding non-yielding bullion.
Kotak Securities said in a statement, "Amid other factors, gold remains supported by mixed US economic data, US-China tensions, and Brexit uncertainty. Delay in US stimulus is also weighing on market sentiment."
-PTC News
