Marketmen said apart from a weak trend overseas, fall in demand from local jewellers and retailers at current levels weighed on gold prices.
Indian equities markets surged during the mid-afternoon trade session as broadly positive Asian indices and a strong rupee buoyed investors' sentiments.
Indian equities markets opened on a flat note with a negative bias during the early morning trade session on Monday.
The Indian equities markets continued their bull run for the fourth consecutive week supported by a rally in financial sector stocks.
US stocks rallied on Friday, with all three major indices refreshing closing records, as investor sentiment remained bullish ahead of the Presidents' Day holiday.
US stocks fluctuated between small gains and losses in the morning session on Friday.
US stocks opened lower on Friday, led by bank stocks, as investors booked profits after a record-setting few days.
Indian equities markets on Friday provisionally closed with gains of around half a per cent each.
Taking a cue from positive investments sentiment, the key Indian equity market indices opened higher on Friday.