Gold on Thursday recovered on fresh buying by jewellers and softeness in dollar after touching 5 year low in previous session.
International gold recovered marginally, was seen hovering at $1,104 an ounce.
On Monday, gold was dragged lower on the fears of the interest rate hike by Federal Reserve if the US economy recovers as expected.
Recently, Goldman Sachs Group had predicted that there can be further decline in the prices of the precious metal.
In the future market, gold regained Rs 25,000 per kg level as speculators started covering short positions after the precious metal rebounded.
At the Multi Commodity Exchange, gold for latest delivery was seen trading at Rs 24,885 per 10 grams, higher by 0.84 per cent at 2.20 PM IST. Gold futures for October delivery were trading at Rs 25,090 per 10 grams.
In the national capital, gold of 99.9 and 99.5 per cent purity were trading higher by Rs 100 each at Rs 25,350 and Rs 25,200 per 10 grams respectively. It had lost Rs 1,000 in the last four days, reports PTI.