Gold and Silver Prices Plummet in India Amid US Rate Hike

Gold and silver prices have plummeted in India due to a combination of factors. According to the India Bullion and Jewellers Association (IBJA), the price of 24-carat gold fell by ₹4,065 to ₹1.48 lakh per 10 grams on September 28. This is part of a larger downward trend that has made precious metals significantly cheaper this month.

The price drop also applies to silver, which became cheaper by ₹9,158, with prices dropping to ₹2.23 lakh per kilogram on the same day. Market experts point to two major factors influencing the current market: the US Federal Reserve's rate hike and safe-haven demand. The higher interest rates in the US have strengthened the dollar, making gold less attractive to investors.

Analysts advise retail investors to remain cautious as the market remains volatile, but highlight that any sharp price drops should be viewed as a good buying opportunity for long-term investors. To avoid getting scammed, buyers are advised to look for BIS Hallmark on gold and check daily rates before making a purchase.