The bullion market was closed on Tuesday on account of ''Muharram''.

Gold on Wednesday fell Rs 372 to Rs 38,975 per 10 grams in the national capital due to delay in festive demand, according to HDFC Securities. Tracking weakness in gold, silver prices also tumbled Rs 1,150 to Rs 48,590 per kilogram at the bullion market here.

"The festival demand has not picked up yet in the physical market due to higher gold prices," Tapan Patel, senior analyst, commodities, HDFC Securities said.

In the global market, gold prices were trading higher at $1,490 an ounce in New York and silver was also up at $18.10 per ounce.

Prices were trading marginally up at $1,490 on Wednesday ahead of the European Central Bank's meeting and on positive development on the US-China trade issues, he added.

On Monday, gold prices for 24 Karat (99.9 per cent purity) had closed at Rs 39,347 per 10 gram and silver at Rs 49,740 per kilogram.

The bullion market was closed on Tuesday on account of ''Muharram''.