Gold and silver prices dipped in Indian markets today, tracking decline in global rates. On MCX, December gold futures were down 0.2% to 50,584 per 10 gram while silver futures dipped 0.35% to 61,882. In the previous session, gold prices had edged up 0.24% while silver had risen 0.6%. Globally, gold prices have lost momentum over the past two months amid a recovery in US dollar and uncertainty over US stimulus talks. In India gold prices had hit a record high of 56,200 in August.


In global markets, gold rates edged lower weighed down by a steady US dollar. Spot gold fell 0.1% to $1,903.16 per ounce. On the other hand, losses for gold were capped as investors held out some hope of a deal on US stimulus talks. A spokesman for House Speaker Nancy Pelosi said differences were narrowing in talks.
Among other precious metals, silver fell 0.3% to $24.43 per ounce, platinum and palladium were 0.1% higher at $856.85

U.S. House of Representatives Speaker Nancy Pelosi and Treasury Secretary Steve Mnuchin "continued to narrow their differences" about a fresh aid package, Pelosi's spokesperson, Drew Hammill, wrote on Twitter.

"The Speaker continues to hope that, by the end of the day Tuesday, we will have clarity on whether we will be able to pass a bill before the election." the spokesperson wrote.

Inflows into gold ETFs remained uneven as investors awaited more clues about the direction of the price trend. SPDR Gold Trust, the world's largest gold-backed exchange-traded fund or gold ETF, said its holdings rose 0.02% to 1,272.85 tonnes on Monday from 1,272.56 tonnes on Friday.

"Expectations of more fiscal stimulus measures from the US before election and unsolved US-China tensions continue to support gold. However, easing safe haven demand amid hopes of global economic recovery would dent major rallies in the commodity," said Hareesh V, Head of Commodity research, Geojit Financial Services.

Gold (London spot) has support at $1840 while it is required to break $1920 to continue major rallies, he added.

Gold traders will look at progress of Brexit trade talks and the final presidential debate before the US election. Brexit trade talks are likely to continue at least into next week if the UK and EU fail to reach an agreement while the presidential debate between President Donald Trump and former Vice President Joe Biden, be held on Thursday.