Indian Gold Prices Pull Back on Tuesday Amid Profit-Taking and Strengthening US Dollar

India's gold prices retreated on Tuesday after a sharp gain on Monday. The national 24-karat gold rate fell to ₹1,54,750 per 10 grams, while 22-karat and 18-karat gold rates declined to ₹1,41,850 and ₹1,16,060 per 10 grams, respectively.

The decline is attributed to a bout of profit-taking after Monday's sharp climb. Dealers said the retreat reflects a shift in market sentiment rather than any fundamental change in demand. The US dollar strengthened overnight, making gold marginally more expensive for holders of other currencies, and Treasury yields rose modestly, reducing some of the appeal of holding non-yielding assets like gold.

Jewellery stocks bucked the trend, however, with all four tracked counters trading higher despite the pullback in bullion prices. PC Jeweller led the gainers, up 2.81%, followed by Thangamayil Jewellery and Titan Company. Kalyan Jewellers India also advanced.