Ahmedabad silver traded fast at Rs. 1500 gap

(By commercial representative) Mumbai, Ta. 22 January 2021, Friday

Gold and silver broke a two-day rally over the weekend on the back of global markets and prices fell sharply. Lowering the customs exchange rate for the dollar also fueled the decline in the precious metal at home. The dollar saw a modest decline while crude oil weakened in the wake of a deep recession in Europe.

At home, gold in the Mumbai market fell by Rs 2.50 per 10 grams, excluding GST, from Rs 50 yesterday. Gold closed at Rs 4,130, up from Rs 5. Prices with GST were quoted three per cent higher. The price of silver fell from Rs 4,150 per kg to Rs 5 per kg. Prices with GST were quoted three per cent higher.

In the Ahmedabad market, gold fell by Rs 200 to Rs 30,700 from Rs 2.50 and Rs 21,000 from Rs 4.50. Silver was trading at Rs 1,200 per kg and Rs 500 per kg. The dollar exchange rate for gold and silver imports has been reduced from Rs 3 to Rs 7.5. Which has resulted in reduction in effective import duty.

World gold fell by ૮૭૨ 15 an ounce to ૮૫ 150 an ounce. Silver fell to 2.3 an ounce from ૯૨ 2.2 an ounce. Platinum, another precious metal, fell from ૧ 115 to ૯૮ 105, while palladium, which was trading at ૨૩૯૫ 6, fell to ૨૩૬૫ 8 an ounce.

The dollar index saw a rise in fund purchases. Gold was going to sell profitably. In the US, new unemployment claims are expected to reach 8 lakh against the expected 6.5 lakh. Which came to 4.5 lakh last week. In the domestic currency market, the dollar fell by two paise to close at Rs 4.5. The pound fell 3 paise to close at Rs 4.5. The euro was up 19 paise at Rs 2.50.

Crude oil was softening following a signal from Europe's central bank, the ECB, that a deepening recession was imminent. New York crude was trading at 71.8 a barrel, while Brent was trading at 4.5. Venezuela is diverting most of its oil supplies to China amid US sanctions.