Gold Prices Fall As Dollar Gains Ground

Business

oi-Sunil Fernandes

Gold prices continued their downward trend, thanks to strength in the US dollar.

By Sunil Fernandes

Updated: Thursday, December 1, 2016, 15:05 [IST]

Gold prices dropped in trade, as the US dollar showed some strength against a whole lot of currencies. Gold for 22 karats was last seen trading at Rs 28,365 in Mumbai. This was a drop of almost Rs 15 per gram.

In the international markets, gold prices fell to $1170 an ounce. This was a steep decline following the election of Donald Trump as the next President of the United States. The worries for the preciosu metal is that interest rates would go up steeply in the US, which would push gold prices the lower. The belief is that Trump's policies could be inflationary.

Gold in most Indian cities also dipped, while gold in the MCX was trading at Rs 28,370 per 10 grams.

Check gold rates in Indian cities here