Gold Prices Plummet in India Amid Profit-Taking and Weaker Inflation Data

Gold prices in India have dropped due to profit-taking by traders following a recent rally. The spot price of gold was trading at around $4,344 per ounce, while the gold futures contract for delivery in December US was at about $4,400.

The fall in gold prices has affected domestic rates, with Delhi seeing a drop across all three purities - 24K, 22K, and 18K. The price of 24K gold in Delhi is now around ₹15,304 per gram, while 22K and 18K gold are priced at ₹14,030 and ₹11,482 per gram respectively.

The drop in gold prices has been attributed to weaker-than-expected inflation data in the US, which has reduced the possibility of an interest rate hike by the Federal Reserve. This has led to a correction in gold prices, with traders taking profits after a sharp rally.