Gold prices fall for 3rd straight session; silver dips to Rs 2.30 lakh/kg as rising oil prices fuel rate hike bets. Buy, sell or hold?

Gold and silver prices opened lower on the MCX on Wednesday, extending losses for a third session. Fresh U.S. strikes on Iran pushed oil prices and the U.S. dollar higher, fuelling concerns that inflation could remain elevated and keep interest rates higher for longer, reducing the appeal of non-yielding bullion.

In the domestic market, MCX silver futures for September 2026 delivery were down Rs 842 (0.3%) to Rs 2,30,015 per kg. Gold futures for August 2026 delivery fell by Rs 222 to Rs 1,45,170 per 10 grams. In the previous session, the two ended flat.

The decline came after the U.S. military launched a fresh round of strikes on Iran on Tuesday and revoked a licence that had allowed the country to sell oil, following attacks on three tankers in the Strait of Hormuz. The developments added pressure to an already fragile ceasefire.


U.S. oil prices climbed nearly 3% in early trade, extending gains from the previous session, while the U.S. dollar held near its strongest level of the week against a basket of major currencies.

Traders also increased their expectations of a September interest rate hike by the U.S. Federal Reserve. According to the CME FedWatch tool, markets are now pricing in a more than 67% probability of a rate hike, compared with about 57% on Tuesday.

Investors are also awaiting the minutes of the Federal Open Market Committee's June 16-17 meeting, due later on Wednesday, for further signals on the future path of interest rates under new Federal Reserve Chair Kevin Warsh.

Also read: Bought gold and silver at the top? Here's what experts suggest after prices plunged up to 50% from January

In the international market, spot gold slipped 0.1% to $4,100.32 an ounce after earlier falling to its lowest level since July 2. U.S. gold futures for August delivery declined 1.1% to $4,112.50.

Among other precious metals, spot silver fell 0.3% to $59.82 an ounce, platinum declined 1.2% to $1,620.38, while palladium dropped 1.6% to $1,256.25.

How should you trade gold?

Manoj Kumar Jain of Prithvi Finmart said gold and silver prices are expected to remain volatile this week amid fluctuations in crude oil prices, the dollar index and ongoing geopolitical tensions.

According to him, gold has support at $4,080-$4,034 per troy ounce and resistance at $4,154-$4,180, while silver has support at $59.80-$58.00 and resistance at $62.40-$63.60 per troy ounce in Wednesday's session.

On the MCX, he sees gold finding support in the Rs 1,44,400-1,43,550 range, with resistance at Rs 1,46,100-1,46,850. For silver, support is placed at Rs 2,27,000-2,24,400, while resistance is seen at Rs 2,33,300-2,36,000. He advised investors to avoid taking fresh positions in gold and silver ahead of the release of the FOMC meeting minutes.

Read more: Gold sitting idle at home? Here's how it could earn you an income and what to watch out for

Gold rates in physical markets

Gold Price today in Delhi
Standard gold (22 carat) prices in Delhi stand at Rs 1,06,632/8 grams while pure gold (24 carat) prices stand at Rs 1,16,320/8 grams.

Gold Price today in Mumbai
Standard gold (22 carat) prices in Mumbai stand at Rs 1,06,512/8 grams while pure gold (24 carat) prices stand at Rs 1,16,200/8 grams.

Gold Price today in Chennai
Standard gold (22 carat) prices in Chennai stand at Rs 1,07,192/8 grams while pure gold (24 carat) prices stand at Rs 1,16,936/8 grams.

Gold Price today in Hyderabad
Standard gold (22 carat) prices in Hyderabad stand at Rs 1,06,512/8 grams while pure gold (24 carat) prices stand at Rs 1,16,200/8 grams.

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)