Gold and Silver Price Movements in New Delhi

On Tuesday, the price of gold in New Delhi saw a slight decrease, falling by Rs 100 to reach Rs 78,600 per 10 grams, as reported by the All India Sarafa Association. This drop follows the previous trading session's close at Rs 78,700 per 10 grams. Conversely, silver prices experienced a significant jump, rising by Rs 500 to Rs 90,500 per kilogram, up from Rs 90,000 per kg in the previous session.

The price of 99.5% purity gold also dipped by Rs 100, settling at Rs 78,200 per 10 grams. Meanwhile, futures trading on the Multi Commodity Exchange (MCX) showed mixed results, with February gold contracts increasing by Rs 35 or 0.05% to trade at Rs 76,179 per 10 grams, while March silver contracts decreased by Rs 87 or 0.1% to Rs 89,031 per kg.

Global Market Trends

Globally, Comex gold futures remained steady at USD 2,628.30 per ounce. Analysts attribute this stability to a holiday-thin session, with prices consolidating recent declines. However, the stronger dollar in overseas markets continues to weigh on gold prices, according to Pranav Mer, Vice President of EBG - Commodity & Currency Research at JM Financial Services Ltd.

Saumil Gandhi, Senior Analyst of Commodities at HDFC Securities, noted that trading volume remains calm ahead of the Christmas holiday. The recovery in the US dollar following Friday's fall also poses a challenge for precious metals, Gandhi added. Comex silver futures fell by 0.13% to USD 30.15 per ounce in overseas markets.

Praveen Singh of Mirae Asset Sharekhan observed that gold is consolidating amid thin liquidity conditions, similar to other commodities. Market participants are now awaiting upcoming US data, including the Philadelphia Fed non-manufacturing and Richmond manufacturing indices, which could provide further direction for gold and silver prices.