Gold Prices in India Steady, Silver Retreats from Record High: Latest Rates and Analysis
Gold prices in India were steady at Rs 1,30,780 and silver was up at 1,81,680 on Tuesday, according to the India Bullion Association as of 6:52 a.m. However, silver in the spot market fell from its record high.
Spot Gold Prices Fall, But Remain on Course for Strongest Annual Gain Since 1979
Spot gold also fell on Tuesday, trading around $4,250 an ounce. Despite the pull back from record high last month, gold remains on course for its strongest annual gain since 1979, having reached a series of record highs before retreating last month. US rate cuts have underpinned prices, which have also been buoyed by inflows into bullion-backed exchange-traded funds and sustained central bank buying.
Economists Expect Prices to Decline Over the Next Year
Economists at Macquarie Group expect prices to decline over the next year following a 50% year-to-date surge. ‘With global growth beginning to recover, central bank easing cycles nearing completion, real interest rates still relatively high, and tensions between the US and China easing (for now), we believe the near-term peak has been reached,’ strategists including chief economist Ric Deverell wrote in a note earlier this month.
Gold Prices in Major Cities
In New Delhi, the price stood at Rs 1,30,320, per 10 gm, and in Mumbai, it stood at Rs 1,30,550 on Tuesday. In Bengaluru, the rate stood at Rs 1,30,650, while in Kolkata, it was Rs 1,30,370 per 10 gm. The price of the precious commodity in Chennai was the highest at Rs 1,30,930 per 10 gm.
Silver Prices Fall from Record High
The precious metal’s price hit a fresh record on Tuesday and was trading at Rs 1,81,680 per kilogram on Dec. 2, according to the India Bullion Association. The metal had hit a record high on Monday as well after a trading outage on the Chicago Mercantile Exchange due to a data-center fault adding to the ongoing supply shortage.
Dec. 25 futures for silver were trading lower at Rs 1,82,010, according to the Multi-Commodity Exchange, while Spot silver was down 1.73% at $58.12, giving up the gains of the previous session. For more information on silver prices and gold prices, please visit our website.
Impact of US Rate Cuts on Gold Prices
The recent US rate cuts have had a significant impact on gold prices, with the precious metal reaching new highs in recent months. To learn more about the impact of US rate cuts on gold prices, please read our in-depth analysis.
Investing in Gold and Silver
Investing in gold and silver can be a great way to diversify your portfolio and hedge against market volatility. For more information on investing in gold and silver, please visit our website and read our expert guides.