Gold, Silver Prices Fall Sharply on MCX Amid US-Iran Tensions, Market Uncertainty
Srinagar: Gold and silver prices witnessed a sharp decline on the Multi Commodity Exchange (MCX) on Monday, extending losses for the second straight trading session as investors reacted to rising global uncertainty and inflation concerns linked to escalating tensions in the Gulf region.
Silver futures for September 2026 delivery dropped by ₹5,400, or around 2.5%, trading at ₹2,17,277 per kilogram. Meanwhile, gold futures for August 2026 delivery slipped by ₹2,000 to ₹1,41,557 per 10 grams.
The fall came after increased tensions between the United States and Iran, with reports of missile and drone exchanges over the weekend. The developments raised concerns about energy supply disruptions and their impact on the global economy.
Meanwhile, international crude oil prices jumped nearly 4%, while the US dollar strengthened and Asian stock markets faced pressure as investors evaluated the possible impact of higher energy costs on inflation.
Market attention is now focused on upcoming US economic data, including Federal Reserve Chair Kevin Warsh’s testimony before Congress and the release of June inflation, producer price, and retail sales figures. Investors are closely watching these indicators for signals about future interest rate decisions.
The US Federal Reserve has also warned that inflation pressures have increased due to factors including tariffs, rising energy costs and rapid investment in artificial intelligence.
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