Hyderabad: Gold has continued to lose its lustre over the past few days, with rates in Hyderabad hitting a six-month low today.
The current rates for 10 grams of 22-carat and 24-carat gold have fallen to Rs 52,600 and Rs 57,380, respectively.
Reasons for the decline
The decline in gold rates can be attributed to the rise in the US dollar and Treasury yields, as interest rates are expected to remain high for an extended period.
Since the US dollar has remained the preferred asset for investors, gold rates have experienced significant corrections. Consequently, gold rates have reached their lowest point in the past six months.
On June 29, the gold rates in Hyderabad were Rs 53,850 and Rs 58,750 for 10 grams of 22-carat and 24-carat gold, respectively.
Trend of gold rates in Hyderabad
Although the rates have dipped significantly, they remain positive when analyzing the year-to-date (YTD) graph.
The future direction of gold rates in Hyderabad and other Indian cities remains uncertain due to various factors, especially interest rates, which are not coming down due to higher inflation worldwide.
It remains to be seen whether gold rates will continue to decline or if they will start rising again in response to changing market conditions.
