Gold falls Rs 500 to Rs 1,00,420/10 g; silver declines Rs 1,000

New Delhi, Aug 19: Gold prices fell Rs 500 to Rs 1,00,420 per 10 grams in the national capital on Tuesday amid a firm trend in the overseas markets, according to the All India Sarafa Association.

The precious metal of 99.9 per cent purity had ended at Rs 1,00,920 per 10 grams in the previous market session.

In the national capital, gold of 99.5 per cent purity dipped Rs 450 to Rs 1,00,050 per 10 grams (inclusive of all taxes) on Tuesday. It had closed at Rs 1,00,500 per 10 grams on Monday.

“Gold prices cooled down, as peace talks between (US) President Donald Trump and (Ukraine) President Volodymyr Zelenskyy brought some hope for ending the war in Ukraine during a meeting at the White House, with European and NATO leaders also in attendance,” Abans Financial Services CEO Chintan Mehta said.

According to Praveen Singh, Head of Commodities and Currencies, Mirae Asset Sharekhan, said, “Weakness in the USD/INR pair on the Indian government tweaking GST rules is weighing on the domestic gold prices.”

In addition, silver prices declined Rs 1,000 to Rs 1,14,000 per kilogram (inclusive of all taxes) on Tuesday, as per the Association.

The white metal had settled at Rs 1,15,000 per kg in the previous market session.

In international markets, spot gold went up 0.15 per cent to trade at USD 3,337.92 per ounce in New York.

“Gold prices declined below USD 3,380 per ounce as investors turned their attention towards US Federal Reserve Chair Jerome Powell’s forthcoming statements at the Jackson Hole Symposium as well as minutes from the Fed’s most recent meeting,” Renisha Chainani, Head, Research, Augmont, said.

Spot silver was trading at USD 38.09 per ounce, up 0.19 per cent.

“On the macro front, US housing market data, which includes building permits and housing starts, will be released later in the day, which may provide volatility in US dollar and gold prices during the session,” Saumil Gandhi, Senior Analyst of Commodities at HDFC Securities, said.