Following a strong bullish trend on Monday, gold and silver prices suffered a notable correction on Tuesday across domestic markets. On the Multi Commodity Exchange, silver recorded a sharp decline of 3100 rupees, pulling its price down to 218100 rupees per kilogram. Concurrently, the yellow metal also dipped, with gold prices falling by 818 rupees to trade at 142245 rupees per 10 grams.
Global Market Slowdown and Commodity Trends
The downward momentum was not restricted to the domestic sphere, as international bullion markets also experienced mild losses. On the COMEX, gold slipped by 0.65 percent to trade at 4050 dollars per ounce. Meanwhile, silver dropped by 1.72 percent, hovering around 57.705 dollars per ounce. These global shifts directly impacted trading sentiment across major commodity trading hubs.
Factors Driving the Decline in Precious Metals
The primary catalyst behind the sudden dip in gold and silver valuations stems from geopolitical developments. Tensions in the Middle East have eased, and retaliatory actions between the United States and Iran have temporarily subsided. Consequently, demand for gold as a safe-haven asset has softened. Investors are now cautiously awaiting the US Federal Reserve interest rate decision scheduled for July 29. Market consensus suggests that the Fed may keep interest rates unchanged this time, prompting traders to adopt a wait-and-watch approach.
Gold Rates from Delhi to Kanpur
Retail gold prices varied only slightly across major Indian cities today. In the national capital, 24-carat gold stood at 14,507 rupees per gram, whereas Mumbai recorded it at 14,492 rupees per gram. Chennai saw 24-carat gold priced at 14,508 rupees per gram, and Kolkata matched Mumbai at 14,492 rupees per gram. In Kanpur, 24-carat gold traded at 14,432 rupees per gram. Bengaluru, Hyderabad, Kerala, and Pune also logged 24-carat gold at 14,492 rupees per gram according to market reports.
Performance of 22-Carat and 18-Carat Gold
For 22-carat gold, Delhi and Chennai shared a rate of 13,299 rupees per gram, while Mumbai, Kolkata, Bengaluru, Hyderabad, Kerala, and Pune saw rates at 13,284 rupees per gram. In Kanpur, 22-carat gold was priced at 13,230 rupees per gram. Moving to 18-carat gold, Delhi recorded 10,884 rupees per gram, Chennai stood higher at 11,114 rupees per gram, and Mumbai, Kolkata, Bengaluru, Hyderabad, Kerala, and Pune maintained a level of 10,869 rupees per gram.
Silver Price Movement Across Key Cities
Silver also faced selling pressure across various metropolitan and regional markets. In Bengaluru, silver prices dropped by 5,000 rupees to rest at 235,000 rupees per kilogram. Chennai witnessed a minor reduction of 100 rupees, taking silver to 239,900 rupees per kilogram. Mumbai similarly recorded a 100-rupee drop, bringing silver to 239,900 rupees per kilogram, which translates to 239.90 rupees per gram. In Kanpur, silver saw a substantial decrease of 5,000 rupees, settling at 235,000 rupees per kilogram. Despite minor regional variances, overall market pressure kept both gold and silver on a softer trajectory today.
