Gold prices fall Rs 3,500/10 gram in 2 days, silver down Rs 8,700/kg as oil hits $100 again. Time to sell precious metals?

Gold and silver prices extended their decline for a second straight session on the MCX on Friday as Brent crude climbed above $100 a barrel, raising inflation concerns and reinforcing expectations that interest rates could remain higher for longer.

In the domestic market, MCX silver futures for September 2026 delivery were down by Rs 1,120 at Rs 2,18,255 per kg. Gold futures for August 2026 delivery were down by Rs 185 to Rs 1,42,208 per 10 grams. With today’s decrease, the precious metals are down Rs 8,743 (silver) and Rs 3,500 (gold) in two straight sessions.

U.S. President Donald Trump on Thursday threatened "major military punishment" for Iran and its Houthi allies after the Yemeni fighters attacked two Saudi oil tankers in the Red Sea.


Brent crude jumped 7% on Thursday, moving above $100 a barrel for the first time since May and marking one of its sharpest gains since the war began.

The dollar strengthened alongside U.S. Treasury yields, with the benchmark 10-year yield rising to its highest level since January 2025. The U.S. Federal Reserve is widely expected to leave interest rates unchanged next week, although traders are pricing in an 81% chance of a rate hike in September, according to the CME FedWatch Tool.

The European Central Bank also kept interest rates unchanged as expected on Thursday, while leaving the possibility of another increase in September open. Higher interest rates tend to reduce the appeal of non-yielding gold.

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

Gold, silver international prices

Spot gold was down 0.1% at $4,042.77 per ounce, with prices more than $120 below a two-week high reached on Wednesday. U.S. gold futures for August delivery also fell 0.1% to $4,045.60. Bullion was still on track for a modest weekly gain of 0.6%.

Among other precious metals, spot silver fell 0.2% to $57.56 an ounce, platinum declined 0.5% to $1,592.97, and palladium dropped 0.8% to $1,246.72.

How should you trade gold?

Manoj Kumar Jain of Prithvi Finmart said gold has support at $4,014-3,965, while resistance is at $4,084-4,122 per troy ounce. Silver has support at $57.40-56.60, while resistance is at $59.10-60.00 per troy ounce in today's session.

On MCX, gold has support at Rs 1,41,650-1,40,800 and resistance at Rs 1,43,500-1,44,400, while silver has support at Rs 2,16,000-2,14,000 and resistance at Rs 2,22,000-2,24,400. He suggested that long-term investors could accumulate gold and silver during the market fall, while traders should avoid long positions ahead of next week's FOMC meeting.

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 1,07,312/8 grams while pure gold (24 carat) prices stand at Rs 1,17,056/8 grams.

Gold Price today in Mumbai
Standard gold (22 carat) prices in Mumbai 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 Chennai
Standard gold (22 carat) prices in Chennai stand at Rs 1,08,008/8 grams while pure gold (24 carat) prices stand at Rs 1,17,832/8 grams.

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

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