Gold down Rs 250; silver tumbles Rs 900

New Delhi, Jun 26 (PTI) Gold prices declined Rs 250 to Rs 72,300 per 10 grams in the national capital on Wednesday amid fall in precious metal rates globally, according to HDFC Securities.

The yellow metal had settled at Rs 72,550 per 10 grams in the previous session.

Silver also tumbled Rs 900 to Rs 90,600 per kg. It had closed at Rs 91,500 per kg on Tuesday.

“In Delhi markets, spot gold prices (24 carats) are trading at Rs 72,300 per 10 grams, down by Rs 250 from the previous close,” Saumil Gandhi, Research Analyst at HDFC Securities, said.

In the international markets, spot gold at Comex was trading at USD 2,316 per ounce, down USD 8 from the previous close.

Gold came under pressure following the latest hawkish comments from a Federal Reserve policymaker, which dashed investors’ hopes of an impending shift to monetary policy easing, Gandhi said.

“…the uptick in the US dollar also weighed on gold prices,” he added.

Additionally, silver was also quoted lower at USD 28.95 per ounce. In the previous session, it had finished at USD 29.40 per ounce.

“Gold futures are stuck in a range despite high volatility seen in the commodities basket, as traders/investors look ahead to US GDP numbers on Thursday and crucial PCE inflation data on Friday, which may give some indications on the rate cut path of the US Federal Reserve.

“The Fed fund futures are still pricing in more than a 65 per cent chance of a rate cut in September,” Pranav Mer, Vice President, EBG – Commodity & Currency Research at JM Financial Services, said.

According to Jateen Trivedi, VP Research Analyst of Commodity and Currency at LKP Securities, gold prices remained range-bound on Wednesday. The trend appears weak due to recent closing levels and pressure from the dollar index.