New Delhi, February 10 Precious metals declined in futures trading on Tuesday, with silver falling 2% to ₹2.57 lakh per kilogram, while gold slipped to ₹1.57 lakh per 10 grams as traders booked profits amid weak gains in global markets.
On the Multi Commodity Exchange (MCX), silver for the March delivery depreciated by ₹5,422, or 2.06%, to ₹2,57,198 per kilogram. On Monday, the white metal had surged by ₹12,728, or 5.09%, to close at ₹2,62,620 per kg.
Gold futures also witnessed selling pressure, with the April contract decreasing by ₹677, or 0.43%, to ₹1,57,389 per 10 grams. In the previous session, the yellow metal climbed by ₹2,615, or nearly 1.7%, to settle at ₹1,58,066 per 10 grams.
Traders said a stronger US dollar also weighed on sentiment and capped further upside on bullion in the domestic markets.
The dollar index, which measures the strength of the US dollar against a basket of six currencies, edged up 0.09% to 96.90, putting pressure on bullion prices globally.
In the international market, Comex silver futures for March delivery fell 1.20% to USD 81.25 per ounce. On Monday, the metal had finished at USD 82.23 per ounce.
"Silver fell below USD 82 per ounce on Tuesday, ending a two-day rally as traders locked in profits, while volatility in the precious metals market persisted following a historic rout in recent weeks," Jigar Trivedi, Senior Research Analyst at IndusInd Securities, said.
He added that the white metal remains down about 33% from its all-time high reached on January 29, prior to a sharp selloff that wiped out nearly 50% of its value.
Gold futures for April contract slipped by USD 24.19, or 0.48%, to USD 5,055.21 per ounce. It had closed at USD 5,079.4 per ounce in the previous market session.
"Gold slipped after two days of gains as profit-taking emerged in a choppy market still stabilizing after a historic selloff," Kotak Securities said in a note.
The brokerage firm added that attention turns to retail sales, while macro uncertainty and easing expectations continue to support bullion despite near-term volatility.
On Monday, the dollar had weakened following reports that Chinese regulators advised domestic institutions to reduce exposure to US Treasuries, raising concerns over foreign demand for dollar assets.
