New Delhi (Economy India): Gold and silver prices witnessed a notable decline in the national capital on Thursday, dragged down by weak international demand and consistent selling by stockists. According to the All India Sarafa Association, 24-karat Gold Price slipped by Rs 200 to settle at Rs 98,670 per 10 grams, while silver fell Rs 500 to Rs 1,28,500 per kilogram.
The decline follows Wednesday’s sharp fall, when gold prices had already slipped Rs 500 to close at Rs 98,870 per 10 grams.
📉 Global Market Trends Pressuring Local Prices
Market experts attributed the ongoing weakness in precious metals to a mix of global and domestic factors. Internationally, gold prices dipped as the U.S. dollar strengthened and concerns eased over geopolitical tensions, dampening the safe-haven demand. In response, Indian bullion markets reacted sharply, especially as local traders took a cautious stance amid muted retail buying.
“Stockists are reducing their holdings anticipating further weakness in global rates. Weak cues from international markets are clearly weighing on domestic bullion prices,” said a senior Delhi-based bullion dealer.
🪙 Latest Rates in Delhi Bullion Market (July 17, 2025):
- Gold (24K): RS 98,670 per 10 grams (↓ ₹200)
- Gold (22K): Rs 90,450 per 10 grams (approx.)
- Silver: Rs 1,28,500 per kilogram (↓ ₹500)
🔍 Why Are Prices Falling?
Several key reasons are driving the decline:
- International Trends: Global gold prices were under pressure due to reduced geopolitical tensions and rising bond yields.
- Dollar Strength: A stronger dollar index typically weakens the appeal of dollar-priced commodities like gold for non-dollar holders.
- Profit Booking by Stockists: Local traders and stockists opted to book profits ahead of further possible corrections.
- Low Retail Demand: Post-wedding season slump and monsoon uncertainties kept retail jewellery demand low.
🏦 Investment Outlook
Despite short-term corrections, long-term investors are advised to watch macroeconomic indicators closely, particularly interest rate decisions by central banks and inflation trends globally. Analysts say gold could remain volatile in the near term but may rebound in the second half of 2025 if global uncertainties resurface.
The drop in gold and silver prices provides a temporary relief for consumers, especially for upcoming festive and wedding buyers. However, market watchers suggest that the correction might be short-lived if global demand picks up again. Investors should remain vigilant and diversify their portfolios accordingly.
(Economy India)
