Gold price today at Rs 53,410 per 10 gm, silver trending at Rs 67,900 a kg

Physical gold price in India is at a discount for the first time in six weeks as a rebound in local prices to a one-month peak squeezed demand, while purchases slowed in other Asian hubs

Gold price today jumped to Rs 53,410 from Rs 53,400 per 10 gm, while silver price was trending at Rs 67,900 per kg, according to the Good Returns website.

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

Physical gold in India was sold at a discount for the first time in six weeks as a rebound in local prices to a one-month peak squeezed demand, while purchases slowed in other Asian hubs ahead of the year-end holidays. "Demand is very subdued. Retail buyers are postponing purchases because of a price rise," said Ashok Jain, proprietor of Mumbai-based gold wholesaler Chenaji Narsinghji.

In New Delhi, the gold price of 22-carat is at Rs 48,970 per 10 gm, while in Chennai it jumped to Rs 47,450. In Mumbai, the rate was Rs 48,720 according to the Good Returns website. The price of 24-carat gold in Chennai was Rs 51,760 per 10 gm.  

Gold imports, which have a bearing on the current account deficit, fell 40 per cent to $12.3 billion during April-November due to fall in demand in the wake of the COVID-19 pandemic, according to data from the commerce ministry.

Imports of the yellow metal stood at $20.6 billion in the corresponding period of 2019-20. The imports, however, recorded a year-on-year growth of 2.65 per cent in November to $3 billion. Silver imports during April-November 2020 too dipped 65.7 per cent to about $752 million.

The decline in gold and silver imports has helped in narrowing the country's trade deficit, difference between imports and exports, to $42 billion during April-November 2020-21 as against $113.42 billion in the year-ago period.