Gold prices, which had been on an upward trend for several weeks, saw a sharp correction on Monday with a single-day drop of ₹1,500 per 10 grams. This steep decline has brought the price of 10 grams of pure gold in the Delhi bullion market down to ₹91,450, slipping below the ₹92,000 mark for the first time in recent days. Just a week ago, gold was trading close to ₹93,000.
According to bullion traders, the sudden fall is largely attributed to aggressive selling by jewellers and stockists who are anticipating further market corrections. The demand in retail segments has also cooled down, contributing to the downward trend.
In the Hyderabad bullion market, the drop was relatively milder, with the price falling by ₹280 to reach ₹90,380 for 10 grams of pure gold. The shift in prices across different cities is reflective of local demand and supply dynamics.
Silver, too, witnessed a notable slump. With purchases from industrial sectors and coin makers coming to a standstill, silver prices fell by ₹3,000 per kilogram in the Delhi market, settling at ₹92,500. In Hyderabad, however, silver remains priced higher at ₹1.03 lakh per kg.
Market experts suggest that the price drop is linked to global uncertainties. The recent dip in equity markets, triggered by policy concerns from the U.S. administration and growing fears of a global economic slowdown, has pushed investors towards profit booking in bullion.
On the international front, gold is trading at $3,027 per ounce after a drop of $10.16, while silver remains steady at $30.04 per ounce. Traders advise caution as further volatility is expected in the days ahead.
