Gold Prices Plummet Amid Crude Oil Surge and Higher US Interest Rates

Gold and silver prices fell on the Multi Commodity Exchange (MCX) on Wednesday as rising crude oil prices and renewed expectations of higher US interest rates weighed on investor sentiment.

The decline in precious metals came amid uncertainty over US-Iran talks, with stalled negotiations adding to concerns about global energy supplies and pushing oil prices higher.

Higher crude prices have raised fears of renewed inflationary pressure, strengthening expectations that the US Federal Reserve may maintain a tighter monetary policy stance. Higher interest rates typically weigh on non-yielding assets such as gold and silver, as investors may prefer interest-bearing investments.