Gold Prices Plunge Amid Hawkish US Fed Stance and Strong Inflation Data

Gold prices fell nearly 1.86% for the week due to hawkish signals from the US Federal Reserve and stronger-than-expected inflation data.

The Fed's stance, led by Chair Kevin Warsh, weighed on gold prices as investors reassessed their outlook for interest rates.

MCX October gold futures dropped 1.63% to ₹1,56,400, while September silver futures declined 1.66% to ₹2,36,651 per kg.

The momentum in gold and silver had faded after fresh economic data showed that US personal consumption expenditures inflation came in at 3.7% year-on-year in July.