New Delhi: Gold prices have been continuously falling for the past few days. On October 25th, gold prices slipped for the fifth consecutive day, with a decrease recorded in Delhi and several other major cities across the country.
In the capital, Delhi, 24-karat gold is priced at ₹124,510 per 10 grams, while 22-karat gold is selling at ₹114,140 per 10 grams. This situation is influenced by both domestic and global factors.
Gold Rate Today: Delhi vs Mumbai prices and what buyers need to know
What are the main reasons behind the decline?
This continuous decline in gold prices is due to several reasons:
Strengthening Dollar—The US dollar has strengthened in the international market. Since gold prices are determined in dollars, a stronger dollar makes gold more expensive for investors, leading to a decrease in demand.
Expectations of a US-India Trade Agreement – The possibility of improved trade relations between the two countries has shifted investor sentiment towards riskier assets, resulting in reduced gold purchases.
Easing US-China Trade Tensions – The long-running trade war has eased, leading to increased stability in the global market. This stability has made investors less inclined towards safe-haven investments like gold.
Profit Booking—Gold prices had seen a significant surge in the past few months. Now, investors are selling their holdings to book profits, increasing supply in the market and driving prices down.
Gold Prices in Major Cities
While 24-karat gold is priced at ₹124,510 per 10 grams in Delhi, cities like Mumbai, Kolkata, Chennai, and Hyderabad have prices around ₹124,360 per 10 grams. Prices are slightly lower in Ahmedabad and Bhopal—approximately ₹124,410.
Lucknow, Chandigarh, and Jaipur have similar rates to Delhi. This clearly indicates a uniform decline in gold prices across the country.
Silver Prices Also Continue to Fall
Not only gold, but silver prices are also continuing to decline. Silver prices have fallen to ₹154,900 per kilogram. Domestic demand has decreased after the end of the festive season, while the liquidity crisis previously seen in global markets has largely subsided.
Increased availability of silver in the London market has also stabilized its international prices. Overall, the downward trend in both gold and silver prices continues.
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Factors such as the strengthening of the dollar in the international market, an improved trading environment, and profit booking by investors are driving down the prices of precious metals.
If the global economic situation remains stable and the dollar continues to strengthen in the coming days, further declines in gold prices may be observed.