Gold and silver witnessed another round of decline in domestic and international markets today, extending their recent downward trend. On the Multi Commodity Exchange (MCX), prices of both precious metals fell sharply amid global cues and profit taking by investors.
While gold continues to lose its shine after recent highs, silver too has seen a notable drop from its festive season peak. Here’s a look at the latest movement in both metals and how they are performing in the international market.
On the Multi Commodity Exchange (MCX), gold is now priced at Rs 1,18,436 per 10 grams, marking a decline of 2.08 per cent. Yesterday, the yellow metal was traded around Rs 1,22,890 and it has dropped sharply by almost Rs 2,000 since then. And, today gold prices have dropped even further.
This drastic correction has left many investors wondering, what exactly led to the fall in gold prices? And more importantly, will it recover in the near future? Whereas, Some buyers consider it as a golden opportunity to buy, hoping for a reversal in trend whereas others are choosing to wait for the price to go down further.
In the international market, gold is trading at $3,926.88 per troy ounce, down 1.93 per cent intraday. However, despite today’s dip, gold has gained 20.51 per cent over the past 30 days, reflecting a strong upward momentum in the longer term.
Silver prices drop
On the Multi Commodity Exchange (MCX), silver is currently trading at Rs 1,41,978 per kg, recording a decline of 0.97 per cent. The white metal had earlier touched an all-time high of Rs 1,70,415 during the festive season, but since then, its price has fallen sharply by nearly Rs 28,437.
In the latest session, silver prices slipped further by about Rs 1,000, after trading around Rs 1,47,479 yesterday and witnessing an additional Rs 6,000 fall in the evening.
whereas in the international market, the white metal is trading around $46.54, a down with 0.59 per cent.
Experts’ opinion
Manoj Kumar Jain, an expert on commodities, stated that both gold and silver extended their losses and breached key support levels amid easing trade tensions and a prolonged unwinding by traders ahead of the US Federal Reserve’s monetary policy meeting.
However, he noted that the market remains volatile and a short-term recovery cannot be ruled out.