An emergency rate cut by the US Federal Reserve also failed to calm global financial markets while a price war raged on between the top oil producers. The Fed slashed interest rates on Sunday night (March 15) in its second emergency cut this month and said it would expand its balance sheet by at least $700 billion in the coming weeks in a bid to ease tension in financial markets.
Gold broke its psychological $1,500 per ounce level. The commodity traded 4.50 per cent down at $1,459 per troy ounce at around 5.20 pm (IST). Silver traded nearly 18 per cent down at $12 per ounce. In the domestic market, gold jumped Rs 455 to Rs 41,610 per 10 gram in Delhi amid rupee depreciation .Silver prices, however, dropped by Rs 1,283 to Rs 40,304 per kg from Rs 41,587.
Globally, the precious metals are caught up in a broader tumble in stock markets, as the COVID-19 continued to spread rapidly, with some investors obliged to sell assets to cover margin calls, analysts said.