Gold Price Drops by Rs 2,100 in India at Start of August for 24K/100g; Silver Down Too -Will the Fall Continue

Gold prices in India dropped on the 1st Day of August month registering a second-day fall today, This decline comes as investors reacted to the 25% tariff on India, a stronger U.S. dollar pressure and hawkish signals from the Federal Reserve.

The Fed kept interest rates unchanged on a 9-2 vote, but Chair Jerome Powell's firm stance against a September rate cut and his meeting-by-meeting approach dampened investor sentiment. Strong U.S. Q2 GDP data added further weight, with solid headline growth overshadowing weakness in consumer spending and business investment.

On Friday, August 1, the price of 24-carat gold decreased by Rs 210, bringing the rate to Rs 99,820 for 10 grams.

Gold Rate In India Today on August 1

On August 1, the 22-carat gold price in India went down by Rs. 200 per 10 grams, now costing Rs. 91,500. Meanwhile, 24-carat gold saw a fall of Rs. 210, bringing its price to Rs 99,820 per 10 grams. Similarly, 18-carat gold prices went down by Rs 160, now priced at Rs 74,870 for 10 grams.

While the price per gram of 24-carat gold in India became cheap by Rs 21, now priced at Rs 9,982. Similarly, 22-carat gold, which is commonly used for jewellery, has decreased by Rs 20 and is now priced at Rs 9,150 per gram. The rate for 18-carat gold has also moved down by Rs 16, now costing Rs 7,487 per gram.

Just like that, the cost of 100 grams of 22-carat gold now stands at Rs 9,15,000, showing a Rs 2,000 fall, while 100 grams of 24-carat gold rates in India have dropped by Rs 2,100, retailing at Rs 99,82,00. The 18-carat of the same quantity is now available at Rs 7,48,700, down by Rs 1,600.

Silver Rate in India Today on August 1

Silver prices in India today fell by Rs 2,000 for 1 Kg for the second day in a row. Currently, 1kg of silver in India retails at Rs. Rs 1,13,000 While 100g of silver rates in India cost Rs 11,300, down by Rs 200.

Market View On Gold Prices

Jewellery demand globally fell 14% YoY in Q2 to 341 tons, the lowest since the pandemic-hit Q3 2020, as per the World Gold Council.

"Technically, gold is under fresh selling pressure, with a 3.07% increase in open interest to 12,270 contracts. Support is seen at 98,465, with further downside toward 98,155 if breached. On the upside, resistance lies at 99,190; a move above this could push prices toward 99,605," said Ajay Kedia, Director of Kedia Advisory.

MCX Gold and Silver Futures Update

Gold futures prices at the Multi-Commodity Exchange (MCX) are trading on the downside today. Gold futures, which are expected to mature on October 3, are trading 314 points lower by 0.32% at Rs 98,455 per 10 grams. Similarly, silver futures slated to mature on September 5 is down by 318 points or 0.29% to trade at Rs 1,09,654.

Spot Gold Prices + Spot Silver Price Today

According to the latest update, "Spot gold is marginally up by 0.20% or 6.62 points trading at $3,297.24 an ounce, as of 11.25 GMT, pressured by a stronger US dollar following President Trump's introduction of higher tariffs on multiple countries.

Meanwhile, spot silver is trading in red by 0.05% to $36.69 an ounce, the lowest since July 9, pressured by a stronger US dollar and easing geopolitical uncertainty.

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