Gold prices declined Rs 340 to Rs 87,960 per 10 grams in the national capital on Wednesday amid weak global trends, according to All India Sarafa Association.
On Tuesday, the precious metal of 99.9 per cent purity had ended at Rs 88,300 per 10 grams.
Gold of 99.5 per cent purity also depreciated Rs 340 to Rs 87,560 per 10 grams. It had closed at Rs 87,900 per 10 grams in the previous trading session.
However, silver prices increased Rs 600 to Rs 97,200 per kg on Wednesday.
Meanwhile, in futures trade on the MCX, gold contracts for April delivery declined Rs 659, or 0.77 per cent, to Rs 84,864 per 10 grams.
"Gold took a breather after its strong rally, with prices weakening in both Comex and MCX. MCX gold dropped indicating some short-term pressure," Jateen Trivedi, VP Research Analyst - Commodity and Currency at LKP Securities, said.
The US Consumer Price Index data, to be announced later in the day, will be crucial in assessing the interest rate trend, which could influence gold's movement, he said.
In the international markets, Comex gold futures fell USD 26 per ounce to USD 2,906.60 per ounce.
"Gold dropped on Wednesday, weighed down by dimmed expectations of an aggressive rate after Federal Reserve Chair Jerome Powell signalled no urgency for further interest rate cuts on his first day of testimony to US Congress," Saumil Gandhi, Senior Analyst - Commodities at HDFC Securities, said.
Further, Powell has stated that the central bank will not rush to cut interest rates, indicating patience in the process. Following his remarks, the US Treasury yield increased, which also negatively impacted gold prices.
Comex silver futures in the Asian market hours slipped 0.56 per cent to USD 32.14 per ounce.
(This story has not been edited by NDTV staff and is auto-generated from a syndicated feed.)
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