Gold Rate In India: Domestic gold futures weakened below the Rs 46,650 per 10 grams on Tuesday tracking global rates, as the country remained in the fourth phase of an extended lockdown to curb the spread of the coronavirus (COVID-19) pandemic. MCX gold futures declined by Rs 361 per 10 grams - or 0.77 per cent - to Rs 46,612 per 10 grams mark at the weakest level during the session, compared to their previous close of Rs 46,973 per 10 grams. At 4:56 pm, the gold futures contract (delivery on June 5) traded at Rs 46,742.00 per 10 grams - down 0.49 per cent or by Rs 231 per 10 grams compared to its previous close.
According to the India Bullion and Jewellers Association (IBJA), a Mumbai-based industry body, the opening rate of gold jewellery stood at Rs 47,090 per 10 grams, and silver at Rs 47,985 per kilogram - both excluding Goods and Services Tax (GST).
Gold jewellery prices vary in different parts of India - the second largest consumer of the precious metal - due to factors such as excise duty, state taxes and making charges. (Track Gold Rate In India Here)
In the international market, gold prices edged lower as hopes of economic recovery lifted share markets with many countries easing coronavirus-driven lockdowns, although US-China tensions over Hong Kong limited bullion's losses.
Spot gold was last seen trading down 0.3 per cent at $1,724.74 per ounce.
Domestic equity markets erased all of the intraday gains after benchmark indices S&P BSE Sensex and NSE Nifty 50 rose more than 1 per cent. The Sensex ended 63.29 points - or 0.21 per cent - lower at 30,609.30 and the Nifty settled at 9,029.05, down 10.20 points (0.11 per cent) compared to its previous close.
In March, commodity exchanges cut down trading hours, in a shift from the practice of allowing trading till midnight, in the wake of coronavirus pandemic. The trading now begins at 9 am and ends at 5 pm, instead of 11:50 pm earlier.
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“Global growth worries, US-China tensions, hopes of additional stimulus and ETF (exchange traded fund) flows is providing a floor to prices and relative stability in equity markets and weaker Chinese and Indian demand is capping the gains,” said Ravindra Rao, VP-head commodity research at Kotak Securities.
"Although Gold has been struggling to build on its upward momentum we expect price to hold above $1700/oz amid global growth worries and geopolitical issues,” he added.