Silver crashes 10% to Rs 2.68 lakh/kg, gold sinks to Rs 1.6 lakh per 10 grams

New Delhi: Precious metal prices tumbled sharply in the national capital on Thursday, with silver slumping 10 per cent to Rs 2.68 lakh per kg, and gold falling to Rs 1.6 lakh per 10 grams triggered by a global selloff and a firm US dollar.

According to the All India Sarafa Association, silver tanked by Rs 30,300, or 10.16 per cent, to Rs 2,68,000 per kilogram, compared with Wednesday’s closing level of Rs 2,98,300 per kg.

Gold of 99.9 per cent purity also depreciated by Rs 4,500, or nearly 3 per cent, to Rs 1,60,600 per 10 grams. It had settled at Rs 1,65,100 per 10 grams in the previous session.

Meanwhile, bullion prices also witnessed a steep fall with silver and gold diving up to 13 per cent in the international markets. Spot silver tanked $11.94, or 13.54 per cent, to $76.26 per ounce, while gold declined by $137.32, or 2.77 per cent, to $4,826.99 per ounce.

The dollar index, which measures the greenback’s performance against a basket of six major currencies, was up 0.25 per cent at 97.86, weighing heavily on commodities denominated in the US currency.

“Spot gold tumbled on Thursday as the US dollar strengthened and caution prevails ahead of the US-Iran talks in Oman tomorrow,” Praveen Singh, Head of commodities, Mirae Asset Sharekhan, said.

Manav Modi, Analyst, Commodities at Motilal Oswal Financial Services Ltd, said silver prices languished once again after recovering from last week’s fall.