Gold and silver prices opened sharply lower on the Multi Commodity Exchange (MCX) on Wednesday as fresh tensions in the Middle East, a stronger dollar and rising oil prices weighed on sentiment after Iran retaliated following US airstrikes.
In the domestic market, MCX silver futures for July 2026 delivery were down Rs 4,528 (2%) to Rs 2,34,000 per kg. Gold futures for August 2026 delivery slipped Rs 2,555 (2%) to Rs 1,49,888 per 10 grams. The two ended the previous session in the red.
The dollar strengthened, making gold more expensive for buyers holding other currencies. At the same time, oil prices gained 1%, adding to inflation concerns and reinforcing expectations that interest rates could remain elevated for a longer period.
Although gold is traditionally viewed as a hedge against inflation, rising interest rates tend to reduce the appeal of the non-yielding asset.
In the international market, spot gold fell 1.8% to $4,187.59 per ounce, its weakest level in 11 weeks. Among other precious metals, spot silver declined 1.5% to $64.43 per ounce. Platinum dropped 2.8% to $1,678.10, while palladium slipped 0.8% to $1,212.31 per ounce.
How should you trade gold?
Manoj Kumar Jain of Prithvi Finmart said gold has support at $4,220-$4,174 per troy ounce, while resistance is seen at $4,340-$4,385.
Silver has support at $61.20-$59.10 per troy ounce and resistance at $67.70-$70.00. On MCX, gold has support at Rs 1,51,150-Rs 1,50,000 and resistance at Rs 1,53,500-Rs 1,54,400.
Silver has support at Rs 2,33,300-Rs 2,28,800 and resistance at Rs 2,41,400-Rs 2,45,000. He advised traders to wait before taking fresh positions in gold and silver, while long-term investors may consider adding to their holdings through the SIP route during the current market correction.
Gold rates in physical markets
Gold Price today in DelhiStandard gold (22 carat) prices in Delhi stand at Rs 1,12,448/8 grams while pure gold (24 carat) prices stand at Rs 1,22,656/8 grams.
Gold Price today in Mumbai
Standard gold (22 carat) prices in Mumbai stand at Rs 1,12,328/8 grams while pure gold (24 carat) prices stand at Rs 1,22,536/8 grams.
Gold Price today in Chennai
Standard gold (22 carat) prices in Chennai stand at Rs 1,13,608/8 grams while pure gold (24carat) prices stand at Rs 1,23,936/8 grams.
Gold Price today in Hyderabad
Standard gold (22 carat) prices in Hyderabad stand at Rs 1,12,328/8 grams while pure gold (24 carat) prices stand at Rs 1,22,536/8 grams.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)
