Amid COVID-19 vaccination hopes that is likely to put the ailing economy back on track and rupee appreciation, gold prices on Friday fell for the second day in Indian markets.
At the Multi Commodity Exchange (MCX) February gold futures edged 0.2% lower to Rs 49,122 per 10 gram. It closed on Rs 48,757 per 10 gram in the previous trade.
Check the price of 22-carat gold in your city
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Delhi
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₹ 48350.00
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Chennai
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₹ 46590.00
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Mumbai
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₹ 48420.00
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Kolkata
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₹ 48410.00
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Bangalore
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₹ 45740.00
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Hyderabad
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₹ 45740.00
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Kerala
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₹ 45740.00
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Pune
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₹ 48420.00
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Vadodara
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₹ 48590.00
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Ahmedabad
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₹ 48590.00
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On the global front, gold rose on Friday as prospects of a substantial US pandemic relief package boosted the metal's appeal as an inflation hedge, while the Federal Reserve's dovish stance on monetary policy also supported prices.
Spot gold rose 0.3% to $1,851.14 per ounce by 0251 GMT, while US gold futures were flat at $1,851.20.
Meanwhile, reports have claimed that consumer demand for gold which has largely been subdued amid the pandemic may rise this year on the back of economic recovery of the emerging markets.
As per a report by the World Gold Council (WGC), most economists expect growth to recover in 2021.
“Given the positive link between economic growth and Chinese demand, we believe that gold consumption in the region may continue to improve. Similarly, the Indian gold market appears to be on a stronger footing. Initial data from the Dhanteras festival in November suggest that while jewellery demand was still below average, it had substantially recovered from the lows seen in Q2 of last year”, the report citing market surveys said.
