Domestic gold prices extended losses on Thursday, mirroring global benchmarks as fears of aggressive interest rate hike worsens.
MCX gold August futures fell 0.3 percent to touch an intraday low of Rs 50,638 per 10 grams as of 10:26 am. Silver slumped half a percent to Rs 56,846 per kilogram on the last count.
"General bias may remain on the downside unless we see a substantial correction in the US dollar index or substantial recovery in commodities at large," Ravindra Rao, VP-Head Commodity Research at Kotak Securities, said.
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According to Manoj Kumar Jain, head of commodity and currency research at Prithvi Finmart, both precious metals would remain volatile in Thursday's session. He suggested that if selling gold, one should do it at around Rs 51,000 for a target of Rs 50,600 with a stop loss at Rs 51,220.
Global oil benchmarks have eased as US inflation data brought back concerns over the impact of steep hikes in interest rates during the COVID period.
Indian equity indices made a largely higher start amid mixed cues across global equities. The rupee hit a record low of 79.71 against the US dollar after closing at 79.63 in the previous session.
The dollar Index — which gauges the strength in the greenback against six peers — climbed half a percent to 108.3.
