Gold and Silver Prices Fall Amid Changing US Interest Rate Expectations
Gold and silver prices have taken a breather after a strong run. The metals fell on Tuesday due to changing expectations around US interest rates, rising oil prices, and fresh geopolitical tensions.
The current price of gold is Rs 1,55,470, down 0.30%, while silver is trading at Rs 2,35,763, down 0.96%. One major factor influencing gold and silver prices is the outlook for interest rates in the US.
Markets are now less worried about a rate hike by the US Federal Reserve next month due to weaker economic numbers, including unexpected job losses in July, softer-than-expected consumer inflation, and weaker retail sales.
Dr Renisha Chainani, Chief Research Officer at Augmont, said gold and silver came under pressure as fears of a US interest rate hike next month eased. Investors are now awaiting minutes from the Federal Reserve's latest meeting for fresh clues on the policy path ahead.