Gold Prices Slip Below Rs 1.55 Lakh on Profit Booking

Gold prices have declined on the Multi Commodity Exchange (MCX) following a sharp rally in the previous session, resulting in losses for investors who booked profits. The price of gold fell below Rs 1.55 lakh per 10 grams, with MCX gold futures for October delivery declining by around 0.6 percent or Rs 945 per 10 grams to Rs 1,54,995.

The decline in domestic bullion prices contrasts with gains made internationally, where spot gold rose 0.2 percent to USD 4,424.28 an ounce and US gold futures for December delivery gained 0.2 percent to USD 4,480.90.

Expectations of a US Federal Reserve rate hike have eased following weaker economic data, with market pricing showing a 65 percent probability of the Fed keeping rates unchanged. The domestic decline is also attributed to profit booking, as rising crude oil prices had stoked inflation concerns and raised expectations of higher US interest rates.