The rate of 10 gram 22-carat gold in Mumbai was Rs 36,535 plus 3 percent GST, while 24-carat 10 gram was Rs 39,886 plus GST. The 18-carat gold quoted at Rs 29,914 plus GST in the retail market.
“Gold and silver experienced heavy selling amidst disarray in global equities. Silver slumped to their worst in more than a decade due to unwinding of long positions after a hike in margin calls which forced traders to reduce their positions and cover losses in other asset classes.
Read More : Gold Prices Slip over ₹5,000 per 10 gm in Just 6 Days
Brent oil prices crashed nearly 10 per cent during the day, while precious metals pack also nosedived, with platinum falling more than 25 per cent to hit a 17.5-year low. Investors dumped hard assets in favour of cash after a US rate cut failed to stem a coronavirus-led selloff.
An emergency rate cut by the US Federal Reserve also failed to calm global financial markets while a price war raged on between the top oil producers.
The Fed slashed interest rates on Sunday night in its second emergency cut this month and said it would expand its balance sheet by at least $700 billion in the coming weeks in a bid to ease tension in financial markets.
Commenting on the oil price drop, Karan Shah, Commodity and Currency Analyst, Indiabulls Securities, said: “Oil prices came under intense pressure on both demand and supply sides, worries about the coronavirus pandemic, slashing oil buying persist, while oversupply fears have grown after top exporter Saudi Arabia ramped up output and slashed prices to increase sales to consumers in Asia and Europe.”
Read More : Gold Prices Today Fell Almost 2 percent
Gold broke its psychological $1,500 per ounce level. The commodity traded 4.50 per cent down at $1,459 per troy ounce at around 5.20 pm (IST). Silver traded nearly 18 per cent down at $12 per ounce.
