Gold and silver prices today extended their decline in Indian markets with precious metals weighed (gold prices today)   down by a stronger US dollar. On MCX, gold futures fell 0.33% to ₹48,702 per 10 gram in fifth straight day of decline while silver rates plunged 1% to ₹65,866 per kg. In the previous session, gold had declined 0.11% while silver 0.64%. Gold rates are now down about ₹7,500 from their August highs of ₹56,300.

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In global markets, gold rates declined today, pressurised by a stronger US dollar. Spot gold eased 0.3% to $1,839.21 per ounce. A stronger dollar makes gold more expensive for holders of other currencies.(gold prices today)  The dollar index rose 0.12% to 90.745. Overnight, the US Federal Reserve left its key overnight interest rate near zero and kept its monthly bond purchases intact.

Other precious metals were also under pressure. Silver lost 0.2% to $25.18 an ounce while platinum (gold prices today)  fell 0.2% to $1,063.76.

Gold ETF flows showed weaker investor interest. Holdings of the world's largest gold-backed  (gold prices today)   exchange-traded fund, SPDR Gold Trust, fell 0.3% to 1,169.17 tonnes on Wednesday.

Meanwhile, global stocks continued to extend their retreat from last week’s all-time high amid concerns about valuations.

Gold traders will be watching out for the fourth-quarter US GDP, initial jobless claims and new home sales releases later today. "Apart from virus related development also denting market sentiment is  (gold prices today)   mixed economic data from major economies and uncertainty over US fiscal stimulus as markets remain wary of timing as well as actual size of additional stimulus package," Kotak Securities said in a note.

In global markets, gold is down about 3% so far this month, its worst January performance since 2011. Analysts say gold’s consolidation phase continues, and the bull case should remain in place if prices (gold prices today)  can hold the $1,800 level over the next couple of weeks.