Gold Prices Decline Ahead of Jackson Hole Speech

Gold and silver prices declined on Friday as investors took profits ahead of US Federal Reserve Chairman Kevin Warsh's speech at the Jackson Hole symposium. MCX gold October contracts fell 0.57% to ₹1,58,085, while MCX silver September futures dropped 0.55% to ₹2,39,320 per kg around 9:15 AM.

The decline comes as investors await clearer policy cues from the Fed, which has kept interest rates steady in the 3.5%-3.75% range for five consecutive policy meetings despite inflation remaining above the central bank's 2% target for over five years.

Ravi Singh, Chief Research Officer at Master Capital Service, noted that investors await Warsh's speech for clearer policy cues, and with July core PCE remaining elevated, inflation concerns remain alive. Elevated U.S. debt and uncertainty in the bond market continue to provide support to gold as a hedge against fiscal and currency risks.