Gold and silver prices witnessed a noticeable decline in Indian markets on Wednesday, November 20, 2024, offering potential buying opportunities for investors and jewelry buyers. The drop was recorded on the Multi Commodity Exchange (MCX), reflecting broader global trends and currency fluctuations.
Detailed Price Movement on MCX
Gold futures contracts on MCX experienced a fall, with the December 2024 expiry dipping by 0.25% or ₹120 to settle at ₹47,850 per 10 grams. Similarly, the silver market followed suit. The December 2024 silver futures contract on MCX declined by 0.40% or ₹280, closing at ₹69,520 per kilogram.
This downward movement was not isolated to futures trading. Physical gold markets across major Indian cities also reflected this bearish trend, with prices for popular variants like 24-carat and 22-carat gold moving lower.
City-Wise Gold and Silver Rates for November 20
Here is a detailed look at how gold and silver prices shaped up in key metropolitan centers across India, providing a clear picture for retail consumers.
New Delhi: The capital city saw 24-carat gold priced at approximately ₹47,850 per 10 grams. The 22-carat gold variant was available around ₹43,850 per 10 grams. Silver was trading near ₹69,520 per kg.
Mumbai: In the financial capital, the rate for 24-carat gold hovered near ₹47,900 per 10 grams. The 22-carat gold was priced at about ₹43,900 per 10 grams. Silver rates in Mumbai were close to ₹69,520 per kg.
Kolkata: The eastern metro reported 24-carat gold prices near ₹47,800 per 10 grams. The 22-carat gold was trading around ₹43,800 per 10 grams. Silver was priced at approximately ₹69,520 per kg.
Chennai: In the southern city, 24-carat gold was available for about ₹48,000 per 10 grams, while 22-carat gold was near ₹44,000 per 10 grams. Silver rates matched the national trend at around ₹69,520 per kg.
Factors Influencing the Price Drop
The primary driver behind the decline in domestic gold and silver prices was a strengthening Indian Rupee against the US Dollar. A stronger rupee makes dollar-denominated commodities like gold cheaper for Indian importers. This relationship often directly impacts the final prices for consumers.
Simultaneously, international benchmarks provided a mixed signal. On the COMEX division of the New York Mercantile Exchange, gold futures were trading marginally lower. This global sentiment, combined with the local currency effect, created the conditions for the price correction witnessed in Indian markets.
Market analysts suggest that such dips are often viewed as buying opportunities by long-term investors and those with upcoming festive or wedding-related purchases. The price movement is closely watched for signals about broader economic sentiment and inflation trends.
