Big Drop in Gold Rates in Chennai: December 19 Sees Dips in 24K, 22K, 18K & Silver

Yellow Metal prices in Chennai encountered a huge drop bringing the prices to months low today. The rise in the U.S. Dollar Index and Treasury yields following the outcomes of the Federal Reserve meeting is putting pressure on bullion prices.

Gold Price in Chennai Today

On 19th December 2024, the 22-carat gold rate in Chennai dropped by Rs. 650 per 10 grams, now priced at Rs. 70,700. The 24-carat gold price in Chennai also fell by Rs. 710, settling at Rs. 77,130 per 10 grams. Similarly, the 18-carat gold also decreased by Rs. 500, bringing the price to Rs. 58,400 per 10 grams.

In larger quantities, 24-carat gold per 100 grams saw an increase of Rs. 7,100, reaching Rs. 7,71,300 while 22-carat gold per 100 grams decreased by Rs. 6,500 to Rs. 7,07,000

Silver Prices in Chennai Today

Silver rates in Chennai today Fell after after a long pause of no price movement for four day straight. 1 kilogram of the white metal rate in Chennai is priced at Rs.99,000 after slipping Rs. 1000. For smaller quantities, the cost of 100 grams of silver is Rs. 9,900 which fell Rs. 100

Chennai Gold Price Movement in the Last Five Days

Over the last five days the prices have been quite volatile with major gains and losses.

Spot Gold and Spot Silver Rates

According to a report by Reuters, spot gold experienced a modest recovery, rising 0.6% to $2,603.60 per ounce as of 06:08 GMT. This increase came after the precious metal touched its lowest level since November 18 earlier in the day. In contrast, U.S. gold futures faced a decline, trading 1.4% lower at $2,616.40 per ounce. Meanwhile, spot silver also recorded a slight uptick, gaining 0.2% to trade at $29.40 per ounce.

Key Market Drivers Impacting Precious Metals Today

• Gold prices have fallen significantly due to the Federal Reserve's less dovish outlook on monetary policy as Federal Reserve Chair Jerome Powell emphasized a cautious approach to future policy adjustments, mentioning ongoing risks of inflationary pressures.

• The U.S. Dollar Index rose considerably to 108.04, exerting downward pressure on bullion prices. The U.S. Treasury bonds yields also increased, further weighing on gold.

• A recent Reuters report also highlighted that The Indian government is reassessing a sharp rise in gold imports, which contributed to a record trade deficit in November and weakened the rupee to an all-time low.