Gold prices declined in trade today ahead of a crucial Federal Open Market Committee (FOMC) meet slated for Dec 17 and Dec 18, which could decide the outcome of QE3 tapering. To read more about QE3 tapering click here

MCX gold for Feb delivery was down Rs 114 at Rs 29,318 on the MCX.

Silver on the other hand was down by Rs 223 at Rs 44,553 on the MCX.

International prices of gold have been on the decline this year, as investors have preferred investing in equities over gold. A global economic recovery has prompted investors to shun gold and invest in equities. In fact, international gold prices have dropped almost a fifth of their value this year.

However, Indian gold prices have not trended lower thanks to a sharp depreciation in the rupee.

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