Gold price today at Rs 48,390 per 10 gm, silver trending at Rs 67,500 a kg

Gold price today fell to Rs 48,390 from Rs 45,280, while silver price was trending at Rs 67,500 per kg, according to the Good Returns website.

Gold jewellery price varies across India, the second-largest consumer of the metal, due to excise duty, state taxes, and making changes.

In New Delhi, the price of 22-carat gold slipped to Rs 44,390 per 10 gm, while in Chennai it fell to Rs 42,490. In Mumbai, the rate was Rs 43,920 according to the Good Returns website. The price of 24-carat gold in Chennai was Rs 46,350 per 10 gm.  

Gold imports, which have a bearing on the country's current account deficit (CAD), fell 3.3 per cent to USD 26.11 billion during April-February 2020-21, according to the commerce ministry data.

Imports of the yellow metal stood at USD 27 billion in April-February 2019-20.

The decline in gold imports has helped in narrowing the country's trade deficit to USD 84.62 billion during the 11-month of the current fiscal, as against USD 151.37 billion a year ago.

India is the largest importer of gold, which mainly caters to the demand of the jewellery industry.

Gold prices inched lower on Friday as a rebound in U.S. Treasury yields and a stronger dollar weighed on the metal, although bullion is still heading for its second consecutive weekly gain.

Spot gold was down 0.1% at $1,734.97 an ounce at 11:36 a.m. EDT (1536 GMT). Gold is up more than 0.5% this week. U.S. gold futures were up 0.1% at $1,734.90.

"The rising bond yields, along with the dollar's rise from recent lows are having a negative effect on gold prices," said David Meger, director of metals trading at High Ridge Futures.

"But on the other side of the coin, the expected growth prospects, continuation of the relatively low interest rate environment does bring about some fears of inflation, which is supportive for gold."

Gold is often used as a hedge against higher inflation, but a recent spike in U.S. Treasury yields has weighed on the non-yielding commodity.