In Delhi’s bustling Sarafa market, gold and silver prices dropped for the second consecutive day on Friday. Traders cited heavy profit-booking as the main reason for the decline. Gold prices fell by Rs 1,100, closing at Rs 1.64 lakh per 10 grams, while silver slipped to Rs 2.71 lakh per kilogram. Over the past two days, gold has lost Rs 8,700 per 10 grams, and silver has dropped Rs 28,300 per kilogram.
Gold Price Movement
According to the All India Sarafa Association, 24-carat gold (99.9% purity) fell by Rs 1,100, or about 1%. On Friday, gold was traded at Rs 1,64,100 per 10 grams, including all taxes. On Thursday, gold had already declined by Rs 7,600, bringing the two-day total loss to Rs 8,700 per 10 grams.
Silver Price Movement
Silver also experienced a fall, dropping Rs 600 on Friday to close at Rs 2,71,700 per kilogram, including taxes. Over the last two days, silver has declined by Rs 28,300 per kilogram. Traders said the drop was largely due to profit-booking after a recent surge in precious metal prices.
Reason Behind the Drop
Analysts explained that gold and silver had risen sharply in recent days. Many traders chose to book profits, which caused prices to correct in the domestic market. Meanwhile, global trends were mixed, adding uncertainty to the market movement.
Global Market Update
Internationally, demand for safe-haven assets like gold and silver remains strong. Spot gold rose by $14.70, or 0.29%, to $5,095.81 per ounce, while silver increased by 1.4% to $83.40 per ounce. The global rally had initially supported domestic prices before profit-booking set in.
Impact of Middle East Tensions
Traders noted that geopolitical tensions in West Asia continue to support precious metals. Gaurav Garg, research analyst at Leman Markets Desk, said, “Friday saw significant fluctuations in gold and silver prices. The movement was mainly influenced by ongoing geopolitical tensions in West Asia and strong buying of safe-haven assets.”
