Gold and silver prices struggled today in Indian markets amid muted global rates. On MCX, December futures dipped 0.15% to 50,550 per 10 gram while silver futures declined 0.12% to 61,868 per kg. In the previous session, gold prices rose 0.1%, recovering from day's low of 50,030 while silver had gained 1%. After falling from August 7 highs of 56,200 per 10 gram, gold has remained volatile over the past few sessions. Silver too has corrected from its high of 80,000 per kg, also hit in August.

In global markets, gold prices were steady after rising to a two-week high in the previous session. Spot gold traded at $1,912.49 per ounce while hit $1,918.36 on Monday, highest since September 22.

Global risk sentiment improved after US President Donald Trump returned to the White House on Monday after a three-night hospital stay where he was being treated for COVID-19. For gold, a softer dollar helped offset pressure from an upbeat risk sentiment.

Among other precious metals, silver rose 0.1% to $24.37 per ounce, platinum inched 0.1% higher to $897.99, while palladium dipped 0.2% to $2,356.85.

Most Asian stock markets today tracked overnight gains of their US peers higher on Trump's health update and amid optimism that lawmakers will move closer to providing more stimulus. The dollar remained under pressure, dipping 0.1% against rivals. Risk sentiment improved amid signs of progress in President Trump’s health and increased efforts to finalize US fiscal stimulus, say analysts.

US House Speaker Nancy Pelosi and Treasury Secretary Steven Mnuchin are set to talk again today as on the coronavirus economic relief, continuing their work towards a deal on legislation.

Gold traders will be closely watching Fed Chair Jerome Powell's comments as he delivers keynote address at a conference later today. On Wednesday, the minutes of the Fed's September 15-16 meeting will be released.

The US dollar may continue to remain key price determining factor for gold in the near term with focus on US economy, says Kotak Securities in a note.

"Concerns about health of the US economy also weighed on the US currency. Mixed US economic data, rising virus cases and delay in additional stimulus measures has kept concerns high about health of US economy," the brokerage said.

The pace of gold ETF buying remained uneven. "ETF flows are usually highly price sensitive to unless we see sustained recovery in prices, we may not see much buying interest," Kotak Securities said.