Gold and silver prices climbed on the Multi Commodity Exchange (MCX) on Monday, October 19, 2026, following gains in global markets. Investors are closely watching US interest rate expectations and the impact of lower oil prices on inflation. MCX gold futures for December delivery rose 0.24% to ₹1.48 lakh per 10 grams, while silver futures for the same month increased 0.43% to ₹2.12 lakh per kg. Internationally, spot gold advanced 0.3% to $4,175.60 per ounce, and spot silver gained 0.9% to $57.54 per ounce.
The rise in precious metal prices was supported by softer oil prices, which eased inflation concerns. However, the outlook for US monetary policy remains a significant factor influencing bullion prices. Gold, which does not generate interest income, tends to underperform when interest rates rise. Vikram Subburaj, CEO of Giottus.com, noted that lower energy prices were reducing inflation worries but cautioned that interest rate expectations could hinder a sustained recovery in bullion prices.
For Indian buyers, domestic bullion prices are influenced by international rates, the rupee's exchange rate, import costs, and domestic taxes. A rise in global prices can push up domestic rates, though currency movements may amplify or offset the impact. Festive and wedding demand could support the domestic market, but elevated prices may lead buyers to be more selective about their purchases. Darshan Desai, CEO of Aspect Bullion & Refinery, observed that buyers remained price-conscious at current levels and that demand would likely be selective.
Monday's gains do not necessarily indicate a sustained upward trend. Bullion prices remain sensitive to changes in the US dollar, bond yields, inflation expectations, and interest rate signals. Traders are pricing in a 92% probability of a US Federal Reserve rate hike in December, which could weigh on gold and silver prices. For those planning jewelry purchases, comparing local rates and making charges across jewelers can help assess overall costs. Investors should account for price volatility and avoid assuming that short-term recoveries will continue.