Gold prices softened 0.41 per cent to Rs 30,518 per 10 grams at the futures trade as participants trimmed their positions, taking negative cues from spot market on sluggish demand despite a firm trend overseas.

At the Multi Commodity Exchange, gold for delivery in far-month February fell Rs 126 or 0.41 per cent to Rs 30,518 per ten grams in a business turnover of 508 lots. Likewise, the yellow metal for delivery in December was trading lower by Rs 119 or 0.39 per cent at Rs 30,315 per ten grams in 880 lots.

Market analysts said cutting down of positions by speculators due to lower spot demand mainly led to a decline in gold prices at the futures trade.

They said, however, a better trend overseas where gold prices firmed up as the dollar faltered following dovish comments from US Federal Reserve Chair Jerome Powell, easing investor concerns over the pace of rate hikes, capped the fall. Globally, gold prices rose 0.29 per cent to $1,224.20 an ounce in Singapore.

Silver prices dropped 0.57 per cent to Rs 36,770 per kg át the futures trade as participants reduced their exposure, taking negative cues from the spot market on subdued demand, despite a firm trend overseas.

At the Multi Commodity Exchange, silver for delivery in March moved down Rs 209 or 0.57 per cent to Rs 36,770 per kg in a business turnover of 816 lots. Likewise, the white metal for delivery in December lost Rs 185 or 0.51 per cent to Rs 35,939 per kg in 1053 lots.

Analysts attributed the fall in silver futures to offloading of positions by traders owing to slackened demand from consuming industries at the spot market, but a firm trend overseas restricted the fall. Globally, silver rose 0.28 per cent to $14.33 an ounce in Singapore.

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