Bullion trading ended October on a weaker note across India as prices of gold and silver continued to slide for a second straight session. A sharp correction took place on the morning of October 31, bringing the cumulative two-day decline for the yellow metal to roughly Rs 5,070 per 10 grams. This downward movement provides timely relief for retail consumers preparing for festival shopping ahead of Diwali, while also encouraging prospective jewelry buyers ahead of wedding season demand starting late November.
Global Weakness and US Monetary Concerns
Precious metals faced selling pressure in international trading, where gold dropped over 1% and silver slipped by more than 2%. Market weakness reflects mounting anxiety over elevated inflation in the United States, which has strengthened market expectations that the US Federal Reserve may implement another interest rate hike later this year. Concurrently, the US Dollar Index traded marginally lower as market participants analyzed the monetary path ahead. Downside movement was somewhat cushioned by stronger-than-expected US GDP numbers, which supported safe-haven interest and prevented deeper losses.
Domestic Gold Rates Across Karat Categories on October 31
On October 31, retail prices for 24-karat gold settled at Rs 1,38,880 per 10 grams, shedding Rs 3,380 compared to the preceding rate. For 22-karat gold, widely used for crafting jewelry, the price dropped by Rs 3,100 to trade at Rs 1,27,300 per 10 grams. Meanwhile, 18-karat gold recorded a decline of Rs 2,530, settling at Rs 1,04,160 per 10 grams.
For bulk purchases, retail values also contracted sharply across denominations. The rate for 100 grams of 24-karat gold stood at Rs 13,88,800, whereas 100 grams of 22-karat gold was quoted at Rs 12,73,000. In the 18-karat category, 100 grams stood at Rs 10,41,600. Across all weight groups, price tags fell significantly compared to prior trading.
Silver Prices Dip for the Second Time This Week
Industrial metal silver mirrored gold's downward trajectory, recording its second drop within the week. As of October 31, 1 kilogram of silver in India costs Rs 2,00,000, while smaller retail packs of 100 grams are priced at Rs 20,000. Softer international trends continue to cap domestic silver prices.
City-Wise Snapshot for 22K and 24K Gold
Metropolitan cities across India reported the following retail rates for 22-karat and 24-karat gold on October 31
- Mumbai: In Mumbai, 24-karat gold retailed at Rs 1,38,880 per 10 grams, while 22-karat stood at Rs 1,27,300 per 10 grams.
- Bengaluru: Buyers in Bengaluru saw 24-karat gold at Rs 1,38,880 per 10 grams and 22-karat gold at Rs 1,27,300 per 10 grams.
- Hyderabad: The price for 24-karat gold in Hyderabad settled at Rs 1,38,880 per 10 grams, alongside 22-karat at Rs 1,27,300 per 10 grams.
- Chennai: In Chennai, 24-karat gold traded at Rs 1,30,850 per 10 grams, while 22-karat was available at Rs 1,27,300 per 10 grams.
