Gold Prices Steady, Spot Silver Holds Near Record High — Check Rates In Delhi, Mumbai And Other Cities

Gold prices in India saw a minor decline to Rs 1,29,770 and silver was down at Rs 1,81,400 on Wednesday, according to the India Bullion Association as of 6:50 a.m. However, silver in the spot market rose near its record high as traders expect lower interest rates while market faced ongoing supply tightness.

Spot gold also rose on Wednesday trading near $4,250 an ounce. Despite the pull back from record high last month gold remains on course for its strongest annual gain since 1979, having reached a series of record highs before retreating last month. US rate cuts have underpinned prices, which have also been buoyed by inflows into bullion-backed exchange-traded funds and sustained central bank buying.

Economists at Macquarie Group expect prices to decline over the next year following a 50% year-to-date surge. "With global growth beginning to recover, central bank easing cycles nearing completion, real interest rates still relatively high, and tensions between the US and China easing (for now), we believe the near-term peak has been reached," strategists including chief economist Ric Deverell wrote in a note earlier this month.

In New Delhi, the price stood at Rs 1,29,310, per 10 gm, and in Mumbai, it stood at Rs 1,29,530 on Wednesday.

In Bengaluru, the rate stood at Rs 1,29,640, while in Kolkata, it was Rs 1,29,360 per 10 gm. The price of the precious commodity in Chennai was the highest at Rs 1,29,910 per 10 gm.

The Dec. 25 futures fell to Rs 1,29,700 according to the Multi-Commodity Exchange. The spot prices of the yellow metal was $4,241.90 on Wednesday, according to Bloomberg.

The precious metal's price fell to Rs 1,81,400 per kilograms on Wednesday after it hit record high of Rs 1,81,680 per kilogram earlier this week, according to the India Bullion Association. The metal had hit a record high on Monday after a trading outage on the Chicago Mercantile Exchange due a data-center fault adding to the ongoing supply shortage.

Dec. 25 futures for silver were trading lower at Rs 1,81,510, according to the Multi-Commodity Exchange, while Spot silver was up 0.51% at $59, giving up the gains of the previous session.