Gold prices in Bengaluru witnessed another decline amid volatility in global bullion markets influenced by geopolitical tensions involving the United States and Iran.

According to market reports, rates for 24K, 22K and 18K gold fell for the second straight day, bringing slight relief to jewellery buyers and investors tracking precious metal prices.

Gold rates see noticeable decline

Reports stated that on May 5, the price of 24K gold in Bengaluru dropped by around ₹440 per 10 grams to nearly ₹1,49,180. Meanwhile, 22K gold declined by approximately ₹400 per 10 grams to ₹1,36,750. The price of 18K gold also slipped by around ₹330 per 10 grams.

Silver prices also saw mild fluctuations amid broader market volatility linked to global economic uncertainty.

Global tensions influencing bullion market

Commodity analysts attribute the fluctuations to developments surrounding the Iran-US conflict, oil price movements and changing investor sentiment in international markets.

Gold prices globally have remained highly volatile as investors react to geopolitical uncertainty, inflation concerns and expectations surrounding US interest rate decisions.

Experts note that gold often behaves as a safe-haven asset during periods of uncertainty, though rising inflation and a stronger dollar can also create downward pressure on prices.

Bengaluru jewellery market watches trend closely

Jewellery traders in Bengaluru are closely monitoring the changing rates, especially with wedding purchases and festive demand expected in the coming months.

Market observers say fluctuations in gold prices often influence consumer buying behaviour, with some customers delaying purchases in anticipation of further corrections.

At the same time, lower prices are sometimes viewed as an opportunity for long-term investors and jewellery buyers.

Investors advised to monitor volatility

Financial analysts have advised buyers and investors to remain cautious amid continuing geopolitical developments and international commodity market swings.

Experts believe gold prices may continue witnessing sharp movements in the near term depending on global economic indicators, oil prices and diplomatic developments in the Middle East