Silver also fell following speculative selling amidst lower industrial buying.
Standard gold (99.5 purity) slipped by Rs 85 to end at Rs 29,215 per 10 grams from Tuesday's closing level of Rs 29,300.
Pure gold (99.9 purity) slid by a similar margin of Rs 85 to close at Rs 29,340 per 10 grams from Rs 29,425.
Silver ready (.999 fineness) dipped by Rs 140 per kg to conclude at Rs 52,720 from Rs 52,860 previously.
In Europe, gold dropped on weak euro and Federal Reserve Chairman Ben Bernanke's lack of clarity over more economic stimulus plans in the near future.
Spot gold was bid down at USD 1,577.90 an ounce in early trade and silver also bid lower at USD 27.07 an ounce.
