Gold Prices Plummet Globally and Locally Amid International Market Decline
The global gold market experienced a decline on August 28, following a strong run earlier in the week. The spot price of gold fell by 0.5% to $4,576.30 an ounce, while US gold futures declined by 0.8% to $4,629 per ounce.
In India, the fall in gold prices was reflected in various categories of retail gold, with 24-karat gold declining to ₹15,982 per gram and 22-karat gold falling to ₹14,650 per gram. The price of 18-karat gold also decreased to ₹11,987 per gram.
The domestic players are closely monitoring the futures market, with MCX gold futures standing at ₹1,58,410 per 10 grams on August 28, a decline of about 0.75% during the morning session. The silver futures prices were also under pressure, falling by about 0.43%.
The Indian bullion market is closely linked to overseas gold prices, rupee-dollar exchange rate, import-related costs, and local demand. The recent decline in international gold prices has had a ripple effect on the domestic market, with many investors waiting for a better opportunity to buy.