Silver also slumped on reduced stockist as well as industrial demand.
Standard gold (99.5 purity) shed Rs 130 per 10 grams to finish at Rs 30,940 from overnight closing level of Rs 31,070.
Pure gold (99.9 purity) also declined by a similar margin to end at Rs 31,080 from Rs 31,210.
Silver ready (.999 fineness) went down by Rs 260 per kg to conclude at Rs 61,500 from Friday's close of Rs 61,760.
On the global front, gold fell back on profit taking as sentiment got dampened by a surprise drop in US unemployment data amid fading hopes of further stimulus measures.
Gold for December delivery lost USD 15.70 to settle at USD 1,780.80 an ounce (28.35 gm) on the Comex division of the NYMEX late yesterday.
Silver December contract also eased by 53 cents to USD 34.57 an ounce.