Domestic gold prices edged higher on Thursday, recovering from five-month lows registered the previous day.
Despite prevailing weakness in the global market, mild advances in gold prices back home came amid lacklustre buying by jewellers, according to traders.
Globally, the dollar strengthened, further pressurizing the demand for the yellow metal outside the US.
Silver prices, however, edged lower.
Domestic gold prices had onWednesday declined by Rs 250 to Rs.
30,800 per 10 gramsin Delhi, the lowest level recorded in past five months.1.
In Delhi, gold of 99.9 per cent and 99.5 per cent purity recovered by Rs 25 each to Rs 30,825 and Rs 30,675 per 10 grams, respectively, news agency Press Trust of India reported.( Five things to watch in gold market| How to invest in gold)2.
Silver, however, remained under selling pressure and shed another Rs 50 at Rs 39,150 per kilogram, according to the agency.Gold prices had declined by Rs 350 in the past two days.3.In the international market, gold prices sank to a one-year low.
Spot gold touched its lowest level since July 2017 at $1,214.45 during Thursday's session, news agency Reuters reported.4.Comments fromFederal Reserve chairman Jerome Powell boosted the US dollar further.
Mr Powell said he believed the US was on course for years more of steady growth, and carefully played down the risks to the world's largest economy of an escalating trade conflict.
His comments also reaffirmed expectations for more interest rate rises in the world's largest economy.The Fed raised rates in June and policymakers indicated they expect two more rate increases this year.5.
Gold is highly exposed to interest rates, particularly in the US, as higher rates lift the opportunity cost of holding non-yielding assets and boost the dollar, in which gold is priced.