Gold declined by more than 2 percent at $1,210 per troy ounce, and  trades $50 below the twelve-month high hit last Thursday amid higher risk appetite among market participants. On Friday, the SPDR Gold Trust, the world's largest gold ETF, witnessed an outflow of 5.1 tons. As gold touched yearly high in the previous week, money managers were seen doubling their net long positions in gold to 60,600 contracts, entering into a three-month high contracts, however, positioning are still net short since the beginning of the year.

Silver has fallen to $15.3 per troy ounce in today's session and the decline is being attributed to profit taking as net long positions in silver also increased substantially in the previous week. Silver prices have been rising consistently since the beginning of this month.