Gold prices declined Rs 226 to Rs 1,08,760 per 10 grams in the domestic futures market on Thursday, tracking weakness in the international market.

On the Multi Commodity Exchange (MCX), the most traded gold futures for October delivery slipped by Rs 226, or 0.21 per cent, to Rs 1,08,760 per 10 grams with a business turnover of 16,883 lots.

"Gold prices in the domestic market are back below 1,09,000-level on account of profit booking as investors pocketed gains of close to 10 per cent in just two weeks," Deveya Gaglani, Senior Research Analyst of Commodities at Axis Securities, said.

Additionally, silver futures for December delivery declined Rs 478, or 0.38 per cent, to Rs 1,24,702 per kilogram on the MCX.

Globally, Comex gold futures for December delivery were quoting 0.38 per cent lower at USD 3,667.95 per ounce.

"Gold held its recent gains not far from its record high, supported by expectations of interest rate cuts by the US Federal Reserve (Fed) and rising geopolitical tensions," Jigar Trivedi, Senior Research Analyst at Reliance Securities, said.

Trivedi noted that geopolitical developments, including US President Donald Trump's call on the European Union to impose tariffs on China and India to pressure Moscow over the Ukraine conflict, along with escalation of hostilities in the Middle East, continue to lend safe-haven appeal to the metal.

Meanwhile, Comex silver futures for December delivery went up 0.11 per cent to USD 41.64 per ounce in the overseas markets.

"Investors will now turn their attention to consumer price index data to be released later in the day for further guidance on the Fed's interest rate cycle and short term trajectory for the bullion prices," he added.

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