Gold futures prices today declined 0.45 per cent to Rs 28,866 per 10 grams due to fresh selling by speculators in tandem with a weak trend overseas, as advance in dollar curbed the demand for the precious metal.
At the Multi Commodity Exchange, gold prices for delivery in December lost Rs 130 or 0.45 per cent to Rs 28,866 per 10 grams clocking a business volume of 1,865 lots. Similarly, February contract dropped Rs 127 or 0.43 per cent to Rs 29,186 per 10 grams with a business volume of 104 lots.
Market analysts attributed the fall in gold prices to a weak trend overseas as the dollar advanced against the euro on lingering debt crisis in the euro zone, curbing the demand for precious metals as an alternative investment.
Gold in the Asian region fell 0.2 per cent to $1,760 an ounce.