Gold prices today fell to Rs 52,890 from Rs 54,100 per 10 gm yesterday, while silver was trending at Rs 62,500 per kg, according to the Good Returns website.
Gold jewellery prices vary across India, the second-largest consumer of the metal, due to excise duty, state taxes, and making charges.
In New Delhi the price of 22-carat gold remained at Rs 49,400 per 10 gm, while in Chennai it climbed to Rs 47,220. In Mumbai, the rate was Rs 50,050 according to the Good Returns website. The price of 24-carat gold in Chennai was Rs 51,510 per 10 gm.
On the MCX, December gold futures climbed 0.20 per cent to Rs 50,866 per 10 gm, while silver December futures were at Rs 62,425 per kg.
Gold premiums in India jumped to their highest in nearly three months this week, as jewellers continued to stock up on hopes of more customers visiting stores as the festive season gathers pace.
India celebrated Dussehra on Sunday and Diwali and Dhanteras is in November when buying gold is considered auspicious.
"Investment demand was good in the last few days. Retail demand for jewellery is still weak, but it could improve during the festive season," said Ashok Jain, proprietor of Mumbai-based gold wholesaler Chenaji Narsinghji. On Friday, local gold futures traded at around 50,920 rupees per 10 grams. Prices hit an all-time high of 56,191 rupees in August.
Jewellers have been banking on festive-season buying for a revival in demand and are offering lower prices, said a Mumbai-based dealer with a bullion importing bank.