Gold Rates Fall Sharply in Chennai After Budget 2025 Announcement; Huge Decline in 24K, 22K, 18K On Feb 3rd

Gold Rates Fall Sharply in Chennai After Budget 2025 Announcement; Huge Decline in 24K, 22K, 18K On Feb 3rd

Gold prices in Chennai saw a massive drop today, following a record-high surge of Rs. 25,000 per 100 grams last week. After the Union Budget announcement, both gold and silver prices in India are declining, offering major relief to buyers. The US Dollar index is once again on the rise, exerting pressure on gold prices. The US dollar is currently at 109.63, up by 1.16%, contributing to the downward trend in gold prices.

Today’s Gold Rates in Chennai

As of 3rd February 2025, the 22-carat gold rates in Chennai slipped down a huge Rs. 400 per 10 grams to cost Rs. 77,050, while the 24-carat yellow metal dipped by Rs. 440 per 10 grams to retail at Rs. 84,050. Similarly, the 18-carat gold prices in Chennai also experienced a decline of Rs. 63,650 after a decline of Rs. 300 per 10 grams.

In a similar manner, the 100 g of 24-carat gold rates in Chennai tumbled Rs. 4400 to cost Rs. 8,40,500, while the 22-carat gold now costs Rs. 7,70,500 after declining Rs. 4,000 per 100 grams. Likewise, the cheaper variant of 18-carat gold rates in Chennai now retails at Rs. 636,500 after a dip of Rs. 3000.

Silver Prices in Chennai Today

Silver prices in Chennai have shown no movement in the past three trading sessions. Currently, 1 kg of white metal in Chennai now costs Rs. 107,000, and 100 grams of white metal currently stand at Rs. 10,700.

Chennai Gold Prices Movement in the Last Five Days

Over the last five days, the prices have been quite volatile with major gains and losses.

Dates 24-carat/10g 22 carat/10g
2nd february Rs. 84,490 Rs. 77,450
1st February Rs. 84,490 Rs. 77,450
31st January Rs. 84,330 Rs. 77,300
30th January Rs. 83,030 Rs. 76,100
29th January Rs. 82,850 Rs. 75,950

Spot Gold and Silver Rates Update

According to Reuters, spot gold fell 0.9% to USD 2,776.05 per ounce by 03:03 GMT, retreating from the record peak of USD 2,817.23 reached on Friday. In U.S. gold futures, the price also dropped 0.9%, trading at USD 2,810.80, mirroring the trend in spot gold. Similarly, spot silver saw a significant drop, falling 1.4% to USD 30.87 per ounce.

MCX Gold and Silver Futures Outlook

On the Multi Commodity Exchange (MCX), gold futures, expected to mature on February 5, 2025, are trading higher by 0.41% at Rs. 80,607. However, silver futures, with an expiry date of March 5, 2025, are also surging this morning with a rise of 0.52% at Rs. 92,345.

“MCX Gold April is expected to rise back towards the ₹84,000 level as long as it stays above the ₹82,700 level. MCX Silver March is expected to rise further towards the ₹94,500 level as long as it trades above the ₹92,000 level,” said an ICICI Direct commodity research report.

Market Outlook for Gold and Silver Prices

Analysts at ICICI Direct Research stated that “Spot Gold is likely to trade with a positive bias amid a rise in demand for safe haven as US President Donald Trump on the weekend ordered widespread tariffs on goods from Mexico, Canada, and China, triggering a trade war that could dent global economic growth and reignite inflation. The US imposed 25% tariffs on Mexican and most Canadian imports and 10% on goods from China, starting Tuesday. In retaliation, Canada said it would impose 25% tariffs against $155 billion worth of US goods. Mexico also vowed retaliatory tariffs, whereas China said it would challenge this move at the WTO and take countermeasures. Meanwhile, the strong dollar and rise in US Treasury yields may cap sharp upside in prices. Spot gold is likely to rise further towards the $2820 level as long as it trades above the $2770 level. Similarly, the spot silver is likely to rise further towards the $31.80 level as long as it holds the support near $30.70.”

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Original news source Credit: www.goodreturns.in

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