Gold and silver prices drop amid rising US yields and dollar strength

Gold and silver prices experienced significant declines on the Multi Commodity Exchange (MCX) and through the India Bullion and Jewellers Association (IBJA). Gold prices fell by approximately ₹1,855 to ₹2,000 per 10 grams, while silver saw even sharper drops, with some reports indicating a decline of over ₹8,000 per kilogram in recent trading sessions.

Several global economic factors are driving the downward trend. A strengthening US dollar and rising yields on 10-year US Treasury bonds have made non-interest-bearing precious metals less attractive to investors. Additionally, rising crude oil prices and persistent inflationary pressures have fueled expectations that central banks, including the US Federal Reserve, may delay interest-rate cuts.