Gold Prices Drop: A Good Time for Buyers
Gold and silver prices are falling, which is great news for those looking to buy gold. The downward trend has continued for three days, and experts predict more drops. With the upcoming month of Shravana, gold purchases are expected to surge, especially on Shravan Fridays. This is particularly encouraging for women planning to buy gold in Shravana, considering recent record-high prices. The declining prices coincide with auspicious times and wedding seasons, providing relief. Pure gold is now priced below Rs. 60,000, making it an attractive time to buy.
Global Impact on Gold Rates
The global gold market is experiencing a continuous decrease in prices, and this is affecting domestic markets too. Spot gold rates have dropped around $45 in four days, reaching $1915 per ounce. The spot silver rate is also slightly lower at $22.76 per ounce. Global trends are influencing the recent decline in gold prices.
Hyderabad’s Gold Rate Dip
In Hyderabad, the price of gold has fallen for the third consecutive day. This decline brings relief to buyers. The current rate for 22 carat gold per 10 grams is Rs. 54,700, while 24 carat pure gold is priced at Rs. 59,670. Delhi sees similar trends with 22 carat gold at Rs. 54,850 and 24 carat gold at Rs. 59,820 per 10 grams.
Silver Follows Suit
Silver prices are also decreasing alongside gold. Over the last four days, silver prices dropped by Rs. 2300 per kilogram, with another Rs. 500 decrease today. In Hyderabad, silver is trading at Rs. 76,200 per kg, while in Delhi, it’s priced at Rs. 73,000 per kg.
Reasons Behind the Price Drop
The consecutive drop in gold and silver prices is partly due to increased domestic demand, which is helping to push prices lower. However, experts point to a major reason for this trend: the US Fed’s announcement of interest rate hikes and a stronger dollar. These factors are prompting investors to shift from precious metals to higher-yielding government securities, negatively impacting gold and silver prices.
Rupee’s Weak Value
The Indian rupee’s exchange rate remains weak, particularly against the US dollar in the global market. This is due to a high trade deficit and a stronger dollar. The current exchange rate is Rs. 82 against the dollar, with slight chances of recovery ahead.