Gold prices on Wednesday plunged to a nine-month low by dipping below the crucial Rs 30,000 per ten gram mark on weak global trends.
Tracking similar cues, Silver also dipped to a 15-month low on frantic selling by stockists.
While gold tumbled by Rs 500 to Rs 29,600 per ten gram, a level last seen on July 11, silver lost Rs 1,950 to Rs 51,250, matching with levels of January 9 last year.
Trading sentiment turned extremely bearish on drying up seasonal demand and stockists selling triggered by a steep fall in precious metal prices in global markets.
Gold prices dropped to the lowest level in more than three weeks in global markets as investors cut holdings after the dollar gained and data showed an improving US economy.
Gold in global markets, which normally set price trend on the domestic front, fell 0.8 per cent to USD 1,563.68 an ounce, a lowest since March 8 and silver by 0.9 per cent to USD 27.02 an ounce, cheapest since August 2 in Singapore.
Selling by stockists came in at a time when the the market is passing through an off marriage season and the government has hiked tariff value on importing gold.
The tariff value of gold, the base price on which the customs duty is determined, has been raised to USD 521 from USD 516 per ten grams.
On the domestic front, gold of 99.9 and 99.5 per cent purity tumbled by Rs 500 each to Rs 29,600 and Rs 29,400 per ten grams, respectively. Sovereign also fell by Rs 100 to Rs 25,100 per piece of eight gram.
In line with a general weak trend, silver ready nosedived by Rs 1950 to Rs 51,250 per kg and weekly-based delivery by Rs 1,745 to Rs 50.900 per kg.
Silver coins too dropped by Rs 2,000 to Rs 78,000 for buying and Rs 79,000 for selling of 100 pieces.