SRINAGAR: Gold prices continued their downward trend in the retail market on Wednesday, declining for the fourth consecutive day, with the price of 24-carat gold falling by Rs 770 to Rs 1,44,490 per 10 grams, according to market tracker GoodReturns.in.
The price of 22-carat gold dropped by Rs 700 to Rs 1,32,450 per 10 grams, while 18-carat gold declined by Rs 570 to Rs 1,08,370 per 10 grams.
Over the past four trading sessions, the price of 24-carat gold has fallen by Rs 2,510 per 10 grams.
In the domestic futures market, gold also traded lower. Gold August futures on the Multi Commodity Exchange (MCX) were down 0.32 per cent at Rs 1,44,920 per 10 grams at around 9:15 am.
Market analysts attributed the weakness in gold prices to a stronger US dollar and expectations of higher interest rates following renewed geopolitical tensions in West Asia.
According to reports, fresh US strikes on Iran boosted the dollar and oil prices, raising concerns that inflation could remain elevated and prompt the US Federal Reserve to keep interest rates higher for longer.
Brent crude was trading more than 2.5 per cent higher at around $76.07 a barrel following the escalation.
In the international market, spot gold recovered modestly to trade 0.43 per cent higher at around $4,123.41 per ounce, while US gold futures for August delivery were down 0.44 per cent at $4,138.9 per ounce.
Traders were also awaiting the release of the US Federal Open Market Committee’s June policy meeting minutes later on Wednesday, with market expectations of a September interest rate hike reportedly increasing, a development that typically weighs on non-interest-bearing assets such as gold.
