On the other hand, silver held steady at Rs 45,500 per kg in scattered deals from industrial units and coin makers.
Traders said besides a weak trend in the overseas market, muted demand from jewellers and retailers at domestic spot market led to fall in gold prices here.
In international market, gold fell 0.30 per cent to USD 1,315.90 an ounce in New York in yesterday's trade.
In the national capital, gold of 99.9 per cent and 99.5 per cent purity plunged by Rs 325 each to Rs 31,200 and Rs 31,050 per 10 grams, respectively. The precious metal had gained Rs 225 in the previous two sessions.
Silver ready however held steady at Rs 45,500 per kg and weekly-based delivery traded at previous level of Rs 45,725 per kg.
Silver coins, however, remained unaltered at Rs 77,000 for buying and Rs 78,000 for selling of 100 pieces.
(This story has not been edited by NDTV staff and is auto-generated from a syndicated feed.)