International gold price dropped 21 percent in last two weeks as Euro depreciates against US Dollar. Gold is now trading at $722 per ounce a steep decline of $196 (Rs 341 per gram) from above $918 level two weeks back.

Gold touched an all time high of $1033 in last march. From there it dropped $311 (Rs541 per gram) and touched a one year low of $720 few hours back.

Yesterday Euro and the British pound plunged again against the U.S. dollar and the Japanese yen sending Euro to a fresh five year low against US Dollar.

In Indian markets also Gold witnessed a sharp correction but not that deep like in global markets.

10gm gold closed yesterday at 11,884 in MCX, a 13.7% drop (Rs 189 loss per gram or 1512 per sovereign) from its October 8th price of 13,774.

Depreciation of India Rupee and festival season are holding up the gold prices in India, as it lost only 13.7% in India compared to 21% cut in world markets.