Gold prices have witnessed a sudden drop of ₹1,860 per 10 grams in India, leaving investors and buyers surprised. The decline comes after weeks of sustained high prices, which had pushed gold to record levels, sparking concerns about affordability for jewelry buyers and small investors.
According to market analysts, the primary reason for the sharp decline is the strengthening of the Indian Rupee against the US Dollar combined with profit booking by investors in global markets. A stronger rupee reduces the import cost of gold, thereby lowering domestic prices. Additionally, recent global gold market corrections amid fluctuating US bond yields and interest rate expectations have contributed to the sudden fall.
Traders also point out that the decrease in physical demand due to festive season fatigue and wedding season slowdown has added pressure on gold rates. Meanwhile, silver and other precious metals have also seen minor corrections, reflecting broader market trends.
Experts advise buyers to monitor rates closely, as gold prices are expected to stabilize in the coming days, with minor fluctuations depending on global economic cues and RBI policy announcements. Despite the decline, gold remains a long-term safe investment for risk-averse investors, offering protection against inflation and currency volatility.
Current Gold Rates (as of today):
- 10 grams 24K Gold: ₹1,22,290 per 10 grams (after ₹1,860 drop)
- 1 kg Gold: ₹1,22,2900 per kg
Investors and jewelry buyers are advised to stay updated on daily rates and consider strategic buying or selling, keeping in mind seasonal trends and global market conditions.
