Gold Price Drop 2026: Why is gold melting in oil fire? Gold becomes cheaper by ₹ 18,000 from record high, see today’s price

Gold price crash India 2026: On one hand, while the prices of petrol and diesel in the domestic market are becoming heavy on the pockets of the common man and crude oil is continuously making new records in the international market, on the other hand, a very surprising news is coming out from the bullion market. It is generally seen that whenever war or geopolitical tension increases in the world, the prices of gold start touching the sky. But this time the entire mathematics has turned upside down. Since the start of the Iran crisis and war in February 2026, while crude oil is on fire, gold and silver prices have been in historic decline. According to Zee News, amid this tough fluctuation, gold has become cheaper by about ₹ 18,000 per 10 grams from its record high, while the domestic prices of silver have fallen by a huge ₹ 1.21 lakh per kg. The 24 carat gold which had once crossed ₹ 1.78 lakh, has now come down to the level of ₹ 1.57 lakh. Indian bullion market: What are the prices of gold and silver today? According to the latest ratelist released on the official website of India Bullion and Jewelers Association (IBJA), the average prices of gold and silver according to different carats in the Indian market are as follows: Gold/Silver Category (Carat) Current Price (INR) Unit of Measurement (Unit) 24 Carat Gold (99.9% Purity) ₹ 1,57,484 per 10 grams 22 Carat Gold (Jewellery Manufacturing) ₹1,44,835 per 10 grams 18 carat gold (Diamond Jewellery) ₹1,18,588 per 10 grams 14 carat Gold (Low Budget Jewellery) ₹92,498 per 10 grams Silver (Silver Rate) ₹2,60,000 per kg Talking about Multi Commodity Exchange (MCX), the future price of gold there too is ₹1,58,588 per kg. Trading around 10 grams. This sharp fall in prices is a big and comforting news of relief for those families who are going to have big wedding ceremonies in their homes in the coming days or who were planning to buy gold for a long time. Condition of the international market: Spot gold also got battered. On the global front too, the attraction of investors towards gold has reduced significantly. In the global market, spot gold has fallen by $ 26.02, slipping from $ 4,559.90 an ounce to $ 4,516.75 an ounce. The direct and severe impact of this recession in the international market is also being seen in the local bullion markets of India. After all, why is gold continuously falling even when oil is expensive? Behind this strange behavior and contradiction of the market, some very strict and basic rules of the global economy are working, which are important to understand: Competition for liquidity: In this environment of war and uncertainty, big institutional investors want to keep their portfolio completely safe instead of investing their money in metals like gold or silver. They are keeping cash (liquid money) with them by selling precious metals so that they can face any emergency. Gold prices are falling due to this selling pressure. Strict policies of the US Federal Reserve: Due to rising prices of crude oil, inflation is once again spreading across the world. In view of the strong inflation in America, the possibility of the US Federal Reserve cutting interest rates in the coming time is almost over. The market fears that interest rates will remain at high levels for a long time. ‘Inverse relationship’ between interest rates and gold: There is always a reverse relationship (if one increases, the other will decrease) between the interest rates of the US Federal Reserve and the prices of gold. When interest rates are high, the US dollar becomes extremely strong and government bond yields rise significantly. In such a situation, investors start withdrawing their money from non-interest bearing assets like gold and investing it in safe dollar bonds. This is the main reason why despite global tension, the shine of gold is continuously fading.