Gold prices fall, yellow metal sells at Rs 56,130; silver remains unchanged

The price of gold fell by Rs 160 on Wednesday, with 10 grams of the yellow metal (24-carat) trading at Rs 56,130. Silver price, on the other hand, remained unchanged from yesterday's close. The precious metal was selling at Rs 71,800 per kg.

The price of 22-carat gold fell Rs 150 from yesterday's close to Rs 51,450, according to the GoodReturns website.

In Mumbai, Kolkata, and Hyderabad, 10 gram of 24-carat and 22-carat gold was selling at Rs 56,130 and Rs 51,450, respectively.

In Delhi, 10 grams of 24-carat and 22-carat gold was trading at Rs 56,290 and Rs 51,600, respectively. In Chennai, 10 gram of 24-carat and 22-carat gold was selling at Rs 57,130 and Rs 52,370, respectively.

Gold prices were flat on Wednesday, as traders awaited key US inflation data due this week to gauge the Federal Reserve's rate hike stance.

Spot gold was little changed at $1,876.49 per ounce, as of 0023 GMT. US gold futures rose 0.3 per cent to $1,881.30.

Gold is highly sensitive to rising interest rates, as that increase the opportunity cost of holding the non-yielding bullion.

Meanwhile, European Central Bank's governing council member Mario Centeno said on Tuesday the current process of interest rate increases is approaching its end.

SPDR Gold Trust, the world's largest gold-backed exchange-traded fund, said its holdings fell 0.13 per cent to 914.17 tonnes on Tuesday.

In Delhi, Mumbai, and Kolkata, 1 kg of silver was trading at Rs 71,800, while in Chennai it was selling at Rs 73,700

Spot silver was steady at $23.62, platinum fell 0.5 per cent to $1,076.00 and palladium slipped 0.4 per cent to $1,773.87.

(With Reuters inputs)