Gold, Silver Plummet Amid Global Rate Fears
Gold and silver prices plummeted in Indian markets on Monday, September 28, following a sharp decline in international precious-metals prices. The Multi Commodity Exchange saw gold prices fall from previous session levels, while silver recorded a substantial intraday decline.
The indicative price of 24-carat gold ranged from Rs 1,50,992 to Rs 1,51,477 per 10 grams across major Indian cities. Chennai had one of the higher 24-carat gold rates among the cities considered, at about Rs 1,51,477 per 10 grams.
Silver was quoted at around Rs 2.33 lakh per kilogram across the major cities. The relatively narrow variation between cities indicates that national and international market factors were driving silver prices rather than significant differences between individual cities.
R Ponmudi, CEO at online trade and weathtech firm Enrich Money, stated that near-term pressure from the dollar, Treasury yields, and expectations for the Federal Reserve’s rate path is dominating price action. The bias has turned negative, with a sustained move back above $4,300 needed to stabilise the setup.
The domestic market experienced a notable decline during trading, reversing strong gains precious metals had recorded earlier. A weaker rupee provided only a partial cushion to domestic gold prices. Ponmudi cautioned that a decisive break below Rs 148,000 could expose the metal to further downside toward Rs 146,000.