Gold Silver Price: On Tuesday, the second day of Diwali, bullion market of the national capital witnessed a softening in the movement of precious metals. Gold prices fell sharply due to weak global cues and strong US dollar. In the domestic market, gold prices have fallen by Rs 500 to Rs 146,400 per 10 grams. Earlier on Monday, the price of 99.9 percent pure gold closed at Rs 146,900 per 10 grams. However, amid this decline, silver prices did not see any change and remained stable.

Silver prices remained stable

Although gold has seen a decline, silver prices have remained relatively stable. According to local traders, silver remained steady at Rs 192,500 per kg (including all taxes) for the second consecutive trading session. According to market experts, despite the festive season of Diwali, lack of expected purchases from consumers has affected market momentum, but silver prices have maintained their strength.

Downward pressure in the international market

Market experts believe that the prevailing weakness in the international market and the strength seen in the dollar are clearly putting pressure on gold prices at the domestic level. The price of gold in the international market fell by $27.59, or about one percent, to $4,113.55 an ounce, while the price of silver also fell by more than one percent to $52.77 an ounce. Weak retail buying of gold during Diwali has also failed to lift prices.

Softening in crude oil prices

Nowadays, global investors are keeping a close eye on all international market movements and US economic data. Crude oil prices fell ahead of the release of US inflation data, easing global inflation concerns somewhat, according to experts. Brent crude fell $2.72, or 3 percent, to $89.85 a barrel in international markets on Tuesday, as expectations for a resolution to the conflict between the United States and Iran rose. In the near future, signals about the interest rate policy of the US Federal Reserve will determine the direction of gold and silver.