Gold Silver Price Today: Gold slipped below Rs 1.54 lakh, silver fell by more than 2%, know what is the reason?

Business Desk – Gold Silver Price Today: There was a big fall in the prices of gold and silver on Monday. Investors’ concerns have increased amid increasing US-Iran tension and rise in crude oil prices, which has also affected the precious metals market. From domestic futures market MCX to international market COMEX, both gold and silver are trading under pressure.

Condition of gold and silver on MCX

On Monday, gold opened at Rs 1 lakh 54 thousand 177 per 10 grams on Multi Commodity Exchange (MCX). Within a few minutes of the start of trading, its price fell to an intraday low of Rs 1 lakh 53 thousand 596 per 10 grams. At the same time, silver opened at Rs 2 lakh 51 thousand 1 per kg, but due to increased selling it fell to an intraday low of Rs 2 lakh 41 thousand 990 per kg.

At around 10:05 am, MCX Gold August Futures were trading at Rs 1 lakh 53 thousand 822 per 10 grams with a decline of 1.12 percent. At the same time, MCX Silver July Futures fell by 2.21 percent to Rs 2 lakh 43 thousand 100 per kg.

Pressure in international market also

Like the domestic market, there is pressure on the prices of gold and silver in the international market too. On COMEX, gold was trading at $ 4,342 an ounce with a decline of about 0.50 percent. At the same time, silver also fell by about 1.60 percent and reached around $68 an ounce.

What is the reason for the decline in gold and silver?

Market experts say that due to increasing tension between America and Iran, the prices of crude oil have increased. Due to oil becoming expensive, the possibility of inflation also increases, which is impacting the global financial markets and precious metals.

According to experts, due to rising inflation, there may be pressure on the US Central Bank (US Federal Reserve) to keep interest rates high or increase them. Higher interest rates are generally considered negative for precious metals like gold and silver.

What are the experts saying?

According to SEBI-registered market expert Anuj Gupta, the increase in US-Iran tension has led to a rise in crude oil prices, which has again increased inflation concerns among investors. He believes that if inflationary pressure continues, then in the next meeting of the US Federal Reserve, a strict stance can be adopted regarding interest rates, due to which there will be pressure on the prices of gold and silver.

At the same time, Kainat Chainwala, AVP of Commodity Research at Kotak Securities, says that due to obstruction in peace talks, increase in energy prices and no indication of interest rate cut by the US Fed soon, the environment for gold remains weak.

According to him, America’s jobs report for the month of May will be the next big signal for the market. If employment data comes out strong, the Fed may maintain higher interest rates for a longer period, which could put further pressure on the bullion market.

What are the signals for investors?

Experts believe that at present the direction of gold and silver prices will depend on the US-Iran tension, crude oil prices, inflation data and the decisions of the US Federal Reserve. In such a situation, investors are being advised to invest wisely while keeping an eye on the market movements.