Global gold prices slipped on Thursday as improved sentiment aided risk-on trade.
Spot gold dropped to $1,544.66/ounce.
SPDR Gold Holdings said its holdings rose 0.66% to 895.90 tonnes on Wednesday.
On the trade front, China said that it would hold trade parleys with the US early next month.
Back home, MCX Gold Oct Futures fell to Rs39482/10g, down 0.86%. Silver rates declined after touching a record high of Rs51,489/1kg.