Globally, gold prices recovered to over $1,500 an ounce on Tuesday, following the previous session's steep fall, as focus turned to US Federal Reserve policy statements and growth concerns, news agency Reuters reported.

Spot gold rose 0.4 per cent to $1,501.50 per ounce in intraday trade, after falling to a near one-week low of $1,492.10 on Monday.

US gold futures gained 0.1 per cent to $1,513.40.

"Globally, spot gold held steady near $1,500 an ounce weighed down by a strong US dollar and higher level profit-booking. However, traders remain cautious on taking big positions ahead of the key economic events like the US Federal Reserve's July meeting minutes and Jackson Hole seminar later this week," PTI quoted Hareesh V, head (commodity research), Geojit Financial Services, as saying.

"At the same time, domestic gold prices edged higher to due to a weak Indian rupee," he further added.

Extending its decline for a second straight day, the rupee fell by as much as 34 paise - or 0.53 per cent - to 71.81 against the dollar on Tuesday.

In Delhi, gold of 99.9 per cent and 99.5 per cent purity gained by Rs 200 to Rs 38,770 and Rs 38,600 per 10 grams, respectively. Gold prices on Monday had fallen by Rs. 100 to Rs. 38,570 per 10 grams.

Sovereign gold on Tuesday, however, dropped by Rs 200 to 28,600 per eight grams.

Silver ready plunged by Rs 1,100 to 43,900 per kg, while weekly-based delivery fell Rs 113 to Rs 43,422 per kg.