Gold prices in India saw sluggish week, rallied on Thursday

Gold prices in India saw a decline this week as they witnessed volatile trading on Monday and slipped by Rs 252 to Rs 52,155 per 10 grams on Friday amid a stronger rupee.

Except on Thursday when gold prices rallied Rs 743 to Rs 52,508 per 10 gram, the yellow metal traded on a low note throughout the week. On Monday, gold prices dipped marginally by Rs 44 to Rs 53,040 per 10 gram in the national capital, according to HDFC Securities.

“Spot gold prices for 24 carat in Delhi traded volatile with rupee fluctuation as prices pared early gains with sharp rupee appreciation,” Tapan Patel, a senior analyst with HDFC Securities, said on Monday, according to news agency PTI.

Gold prices declined by Rs 557 to Rs 52,350 per 10 gram in the national capital again on Tuesday, according to HDFC Securities. The trend continued on Wednesday as gold prices further declined Rs 210 to Rs 51,963 per 10 gram following a weak trend in the global market and rupee appreciation.

“Gold prices continue to fall as hopes surrounding a potential COVID-19 vaccine and positive signals on the US-China trade front buoyed risk sentiment,” Navneet Damani, vice president of Commodities Research at Motilal Oswal Financial Services, was quoted as saying by PTI.

Bucking the three-day trend, gold prices rallied Rs 743 to Rs 52,508 per 10 gram on Thursday as it traded under pressure on economic growth optimism. On Friday, gold prices slipped again by Rs 252 to Rs 52,155 per 10 grams amid a stronger rupee, according to HDFC Securities.

“Spot gold prices for 24 carat in Delhi were lower by Rs 252 despite the recovery in international prices as stronger rupee capped the upside for the day,” HDFC Securities’ Patel said.

“Gold prices witnessed recovery on Friday on economic growth concerns,” Patel added.

(With PTI inputs)