Gold price on Friday fell to Rs 51,940 from Rs 52,670 per 10 gm, while silver was trending at Rs 60,100 per kg, according to the Good Returns website.
Gold jewellery price vary across India, the second-largest consumer of the metal, due to excise duty, state taxes, and making charges.
In New Delhi, the gold price of 22-carat fell to Rs 49,210 per 10 gm, while in Chennai it dropped to Rs 47,610. In Mumbai, the rate was Rs 49,960 according to the Good Returns website. The price of 24-carat gold in Chennai was Rs 51,940 per 10 gm.
On the MCX, December gold futures slid 0.83 per cent to Rs 50,700 per 10 gm, while silver December futures were at Rs 60,920 per kg.
Gold in the national capital rose Rs 268 to Rs 50,812 per 10 grams on Friday following a recovery in international prices of precious metal, according to HDFC Securities.
The metal had closed at Rs 50,544 per 10 gram in the previous trade. Silver also witnessed increased buying as it gained Rs 1,623 to Rs 60,700 per kg from Rs 59,077 per kg in the previous trade.
In the international market, gold was trading with gains at $1,873 per ounce and silver was flat at $23.32 per ounce. "Gold prices traded up on the dollar decline and delay in US stimulus package," HDFC Securities Senior Analyst (Commodities) Tapan Patel said.
Healthy sales during a recent festival encouraged Indian jewellers to continue stocking up this week, while more supply started to make its way into Singapore and Hong Kong as dealers navigate around COVID-19-led bottlenecks. India celebrated the Dussehra festival on Sunday, and now await Diwali and Dhanteras in November.
"Dussehra sales gave confidence to jewellers. They're now buying for Diwali," said a Mumbai-based dealer with a bullion importing bank. "A lot of jewellery demand comes from overseas, particularly clients from Dubai, India and China. Now because of travel restrictions, not many are allowed to be in Singapore," and that could hit Diwali demand, said Brian Lan, managing director at dealer GoldSilver Central.