Sharp Crash In Gold Rate In India Overnight; 24K/100g Gold Falls By Rs.18,000 On May 12; Silver Declines Too

With the beginning of a fresh week, gold prices in India slipped big time after registering massive gains, where bullion surged by almost 3% in the first week of the May month. Gold rates in India have been hovering near the record high levels lately, and a surge in demand has been brought about by the escalating India-Pakistan war. Internationally, as well as the US dollar index, rebounded after a long slump, pressuring spot gold prices, which are also off record highs currently. As the news of trade negotiations between the US and China take rounds, the impact will be seen on both international gold rates and gold prices in India.

Gold Rate in India Today

As of May 12, the 24 carat gold rate in India declined by Rs. 1800 per 10 grams to cost Rs. 96,880 per 10 grams. While the 22 carat gold prices today slipped sharply by Rs. 1650 to retail at Rs. 88,800 per 10 grams. In a similar manner, the 18-carat gold rate today also decreased by Rs 1350 per 10 grams, and it currently stands at Rs 72,680.

Just like that, the 100 grams of 22-carat gold stand at Rs 8,88,000 after falling Rs 16,500. While the 24-carat gold price in India per 100 grams is now retailing at Rs 9,68,000, which declined by Rs 18,000.

Silver Rate in India Today

Silver prices in India today slipped after five consecutive sessions of steadiness. Currently, 1kg of silver in India costs Rs 97,900, which declined by Rs 1100. While 100g of silver rates in India cost Rs 9,790 after slipping Rs 110.

Market Outlook for Gold Prices

Gold is expected to slip further towards UDS 3220 level on a strong dollar and a surge in US treasury yields. Further, demand for safe havens may fade on optimism over a potential trade deal between the US and its major trading partners, including China. The US and China ended trade talks on a positive note, easing concerns over the trade war between the 2 largest economies. On the geopolitical front, India and Pakistan agreed upon a ceasefire over the weekend, and Ukrainian President Volodymyr Zelenskiy said he was ready to meet Russian leader Vladimir Putin in Turkey for direct talks," as per the ICICI Commodity report.

MCX Gold and Silver Futures Prices Update

Gold futures prices at the multi-commodity exchange crashed bigtime at today's opening. Gold futures, which are expected to mature on June 5th, declined 2.35% and are currently trading at Rs. 94,248 per 10 grams. Similarly, silver futures slated to mature on 4th July slipped 0.54% to trade at Rs 96,207.

"MCX Gold June is expected to slip back towards ₹94,500 level as long as it stays below Rs. 96,500 level. While MCX Silver July is expected to slip further towards Rs. 94,300 level as long as it trades below Rs. 97,000 level." According to the ICICI Commodity report.

Spot Gold Prices + Spot Silver Price Today

Reuters, in its latest commodity report, mentioned, "Spot gold fell 1.4% to USD 3,277.68 an ounce, as of 0233 GMT. U.S. gold futures lost 1.9% to $3,281.40. Spot silver was steady at $32.70 an ounce."

City-Wise Gold Rates Today

In major metropolitan cities in India, including Chennai, Mumbai, Bangalore, and Hyderabad, gold rates mirrored this massive decline in the gold rates today. Here's the latest city-wise update on 22-carat and 24-carat gold rates on May 12th

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