Gold price slipped Rs 286 to Rs 38,024 per 10 gram in the Mumbai bullion market as hopes of an interim trade deal between the US and China lifted sentiment for riskier assets strengthening the US dollar.
The rate of 10 grams 22-carat gold in Mumbai was Rs 34,830 plus 3 percent GST, while 24-carat 10 gram was Rs 38,024 plus GST. The 18-carat gold quoted at Rs 28,518 plus GST in the retail market.
Silver prices were down by Rs 750 to Rs 44,250 per kg from the closing price on November 22.
The gold/silver ratio or the amount of silver required to buy an ounce of gold stood at 85.93 to 1.
In the futures market, gold rate touched an intraday high of Rs 37,935 and an intraday low of Rs 37,710 on MCX. For the December series, the yellow metal touched a low of Rs 32,289 and a high of Rs 40,771.
Gold futures for delivery in December eased Rs 150, or 0.4 percent on the MCX trading at Rs 37,745 per 10 gram in evening trade in a business turnover of 8,148 lots. Gold contracts for February delivery were lowered by Rs 201, or 0.53 percent, at Rs 37,796 per 10 gram in a business turnover of 12,174 lots.
The value of the December contract traded so far is Rs 2,691.52 crore and February contract saw the value of Rs 346.76crore.
Similarly, Gold Mini contract for December was down by Rs 143, or 0.38 percent at Rs 37,765 in a business turnover of 7,445 lots.
MCX Gold has support at Rs 37,680-37,550 whereas resistance is at Rs 37,890-37,935. Sideway to negative movement is expected for the day, according to Motilal Oswal. The brokerage firm advised its client to sell near the resistance targeting support of Rs 37,680-37,550 zone.
The brokerage firm said spot gold has key support at $1,440 whereas resistance remains at $1,470.
At 13:28 pm (GMT) spot gold was down by $7.20 at $1,463.45 an ounce in London trading.