Gold slumps Rs 1,000, silver plunges Rs 4,500

New Delhi: Gold prices declined by Rs 1,000 to Rs 1,31,600 per 10 grams in the national capital, tracking a muted demand in the local markets, according to the All India Sarafa Association. Analysts said traders stayed cautious ahead of the US Federal Reserve’s policy meeting announcement also weighed on the sentiment.

The precious metal of 99.9 per cent purity had finished at Rs 1,32,600 per 10 grams on Monday. In tandem with gold, silver prices also slumped by Rs 4,500 to Rs 1,80,500 per kilogram from the previous close of Rs 1,85,000 per kg, as per the association. In the international markets, spot gold rose by $14.83, or 0.35 per cent, to $4,205.57 per ounce.

Spot silver was trading 0.75 per cent higher at $58.59 per ounce in the overseas trade. “Gold traded lower on Tuesday but remained within a confined range as market participants remained cautious ahead of the highly anticipated FOMC policy decision,” Saumil Gandhi, Senior Analyst - Commodities at HDFC Securities, said.