Gold Prices Plummet as Crude Oil Surges and US Dollar Strengthens
Gold prices fell by Rs 500 on Monday in India's national capital to Rs 1,55,400 per 10 gram, as global markets sold off amid a sharp rise in crude oil prices and a strong US dollar.
The yellow metal of 99.9% purity had closed at Rs 1,55,900 per 10 gram on Friday, but Monday's decline marked the third consecutive weekly loss for gold.
Meanwhile, silver bucked the trend by holding steady at Rs 2,34,600 per kilogram, according to local traders.
The global spot price of gold declined by $57.22, or 1.3%, to $4,291.71 per ounce, and silver tumbled nearly 3% to $62.82 per ounce.
Akshat Siddhant, Lead Quant Analyst at investment platform Mudrex, said that the probable Fed rate hike was priced in by investors, leading to a decline in demand for gold and silver.