Gold Price Today: Effect of Iran-America tension, fall in gold prices, see today’s rate list
Delhi. On Monday, gold prices fell by Rs 600 to Rs 1.55 lakh per 10 grams in the bullion market of the national capital. This decline has come after US President Donald Trump rejected Iran’s response to the peace proposal. Crude oil prices have risen after the US rejected Iran’s response to fears of renewed conflict in West Asia.
In an effort to save the country’s foreign exchange, Prime Minister Narendra Modi’s appeal in which he urged people to postpone non-essential gold purchases for a year also put additional pressure on gold. According to All India Bullion Association, gold of 99.9 percent purity fell by Rs 600 to Rs 1,55,300 (including all taxes) per 10 grams. This is less than Friday’s closing price of Rs 1,55,900 per 10 grams.
“Gold came under pressure on Monday as fresh hurdles in US-Iran talks again increased uncertainty in global markets,” said Saumil Gandhi, senior analyst (commodities) at HDFC Securities. He further said that the rejection of the latest proposals sent by both sides again raised concerns of a prolonged conflict, which pushed crude oil prices higher and resurfaced inflation concerns.
This has further increased the fear of global central banks, including the US Federal Reserve, adopting tight monetary policy. However, silver prices rose by Rs 3,700, or 1.42 per cent, to Rs 2,65,000 (inclusive of all taxes) per kg. In the previous session, silver had closed at Rs 2,61,300 per kg.
Gaurav Garg, Research Analyst, Lemon Market Desk, said silver witnessed a slight uptick, benefiting from stability in retail demand amid the upcoming wedding season. In international markets, spot gold fell more than one per cent to $4,661.68 an ounce, and silver also traded marginally lower at $80.28 an ounce.
Jatin Trivedi, Vice President – (Commodity & Currency), Research Analyst, LKP Securities, said gold remained marginally weaker as markets reacted cautiously to negative developments related to the US-Iran peace proposals. Reports suggest that the terms have again been rejected and fears of a re-escalation of conflict are rising.” He said this uncertainty continues to weigh on global risk sentiment, while rising crude oil prices are once again raising inflation concerns in the markets.
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