Gold prices today: Yellow metal rates fall after hitting record high

Domestic gold prices dropped marginally on Tuesday after touching record-high rates earlier. The price dip was supported by an uptick in the dollar, although hopes of slower interest rate hikes by the Federal Reserve capped further losses.

On MCX, gold prices were down by Rs 55 to Rs 56,427 per 10 grams. On Monday, yellow metal rates in India touched a lifetime high of Rs 56,562 even as the dollar edged higher.

Meanwhile, Silver rates decreased by Rs 121 to 69,665 per kg amid choppy trade on Tuesday. Globally, Spot gold was down 0.4 percent at $1,910.48 per ounce as of 0304 GMT in early trade.

The dollar gained 0.3 percent on Tuesday. A stronger dollar turns gold less attractive to buyers with other currencies. The US Dollar Index Futures were up 0.18 percent at 102.132 around 11:30 am on Tuesday.

With this, the rupee depreciated by 18 paise vs the dollar amid the rise in the value of the greenback against a basket of six peers and mixed movement in global crude oil benchmarks.

Crude oil prices fell earlier on Tuesday but soon rose, reversing the initial losses. At the last count, Brent crude futures were trading 0.3 percent higher at $84.7 per barrel. WTI futures were trading 0.6 percent lower at $79.6 per barrel at the last count.

Besides, Indian equity benchmarks BSE Sensex and NSE Nifty50 opened flat on Tuesday.