Gold Rate Today: Prices slump as US economic data casts shadow

Gold prices slump

Gold prices are headed for a week closing in June after they witnessed a decline of nearly 2 percent through the month. The recent slide in prices came after US consumer confidence data revealed a lack of restraint among consumers, leading to concerns about the strength of the US economy and its potential impact on the precious metal market.

Moreover, US new home sales have surged as much as 20 percent  year-on-year, indicating a robust housing market. This positive economic indicator has further dampened the appeal of gold as a safe-haven investment.

Market participants now await the release of US inflation data on June 30 with expectations that it could show a stronger-than-anticipated rise. Inflationary pressures have been a key concern for investors, as they erode the purchasing power of currencies and can diminish the allure of non-yielding assets like gold.

These combined factors have exerted downward pressure on gold prices, leaving investors cautious about the metal's short-term prospects. Market participants are expected to continue to monitor economic indicators to assess the future direction of gold prices.

Latest Gold Prices:

The latest Mumbai Gold Rate on June 28 is as follows:

The 24-carat 999 gold bar of 10 grams is trading at Rs 5,855. On the other hand, the 22-carat gold rate for a 10-gm piece of jewellery stands at Rs 5,660, while the rate for an 18-carat jewellery item is Rs 4,685. These prices have been sourced from Shree MumbaDevi Dagina Bazaar Association, and do not include a 3 per cent Goods and Services Tax (GST).