Gold and silver prices fall on MCX amid inflation and Fed concerns
Gold futures fell 4.1 per cent to Rs 1.36 lakh per 10 grams while silver declined nearly 5 per cent.
Gold and silver prices recorded sharp losses on the Multi Commodity Exchange (MCX) over the past week, according to the Times of India. December-delivery gold futures fell by Rs 5,847, or 4.10 per cent, to close at Rs 1.36 lakh per 10 grams. Silver futures declined by Rs 8,791, or nearly 5 per cent, ending at Rs 1.76 lakh per kg.
The Economic Times reported that on Friday, gold futures for December 2026 delivery rose by Rs 54 to Rs 1,36,279 per 10 grams, while MCX silver futures for the same period fell Rs 5,677 to Rs 1,78,848 per kg.
Analysts suggested that volatility could continue as investors weigh inflation figures, signals from the US Federal Reserve, and developments in West Asia. Jateen Trivedi, VP Research Analyst at LKP Securities, said the near-term outlook remains cautious to bearish. He noted gold closed around Rs 1.36 lakh per 10 grams amid a strong US dollar and persistent inflation concerns.
In India, retail inflation accelerated to 6.09 per cent in October, compared with 5.54 per cent in September, according to the Ministry of Statistics and Programme Implementation. This reading breached the Reserve Bank of India's target range of 2-6%.
Vikram Chhabra, Senior Economist at 360 ONE Asset, said headline inflation is likely to stay above the RBI's 6 per cent upper tolerance limit over the next few months. He expected another 25 basis points rate hike.