Gold, Silver Extend Losses as Volatility Pressures Bullion Markets

Srinagar: Gold and silver prices remained under pressure on Monday, extending recent losses as heightened global volatility, a firm U.S. dollar and shifting investor sentiment weighed on bullion markets.

On the Multi Commodity Exchange (MCX), 24-carat gold settled near ₹1,46,900 per 10 grams at the close of trade around 5:00 PM IST, recovering marginally from intraday lows but still well below recent record levels. Silver prices also ended lower, trading around ₹2.55 lakh per kilogram, reflecting sustained selling pressure.

The weakness followed a broader global sell-off in precious metals, with international prices slipping amid expectations of tighter monetary policy in the United States. Market sentiment was further impacted by concerns that higher interest rates could reduce the appeal of non-yielding assets such as gold and silver.

Analysts attributed the decline to renewed strength in the U.S. dollar and investor repositioning following recent macroeconomic developments, including signals of a more hawkish stance from the U.S. Federal Reserve. Elevated volatility across global equity and commodity markets also contributed to cautious trading.

Despite near-term pressure, several market observers maintain a constructive long-term outlook for gold, citing continued central-bank buying and demand for safe-haven assets amid geopolitical and economic uncertainties.

The bullion prices are likely to remain sensitive to movements in global currencies, equities and upcoming economic data, keeping markets on edge in the near term.