At the Multi Commodity Exchange (MCX), speculators turned bearish about the yellow metal and drive prices down. Gold for December delivery lost Rs 170 per 10 grams from yesterday, and fell to Rs 28,836 per 10 grams in an initial part of the trade. It was seen trading low in the range of Rs 28,908 – Rs 28,911 per 10 grams at 12:45 pm.
International gold prices also registered a dip and were seen down at US$ 1,765 an ounce.
The outlook on the euro front still remains grim worrying global investors that crisis is not tangled into just Greece and Italy but there are other countries also under the spiral of recession.
The euro worries are driving dollar up against major currencies of the world on the views that the greenback is the only alternate investment asset.
Back to India, the price of 24 carat gold and 22 carat gold seen up at Rs 29,390 per 10 grams and 27,480 per 10 grams, respectively as global worries couldn't underpin the domestic prices.