Tension Gold and silver prices fell sharply in Monday’s session as rising crude oil prices amid concerns over higher inflation and the possibility of interest rate hikes reduced the attractiveness of safe investment options.
On Monday, the first trading day of the week, the futures price of gold for June delivery fell by Rs 1,239, or 0.82 percent, to Rs 1,50,113 per 10 grams on the Multi Commodity Exchange (MCX). At the same time, silver for July delivery fell by Rs 4,863 or 1.94 percent to Rs 2,46,074 per kg.
According to India Bullion and Jewelers Association (IBJA) data, the price of gold of 999 purity stood at Rs 1,48,100 per 10 grams on Monday, showing a decline of Rs 2,163 from Rs 1,50,263 last Thursday (April 30). The price of silver with 999 purity was Rs 2,40,120 per kg on Monday, which is Rs 211 less than last Thursday’s Rs 2,40,331.
Gold and silver prices remained under pressure in global markets also. By 7.47 pm Indian time, the price of gold on Comex was around $ 4,569 an ounce, registering a decline of about 1.62 percent. Similarly, Comex silver prices fell by about 3 percent and reached around $74.28 an ounce.
Amid uncertainty regarding US monetary policy and geopolitical developments
investors The attitude remained cautious. Markets are also closely watching US plans to safely expel foreign ships from the Strait of Hormuz as well as signs of progress in US-Iran peace talks.
Rising crude oil prices are expected to put pressure on inflation, which may force the central bank to keep interest rates at a high level for a long time. As a result, gold generally has a negative impact, as it does not provide any returns. It is noteworthy that since the beginning of the US-Iran war, gold prices have fallen by about 12 percent.
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