Gold, Silver Prices Plunge Up to 3% Amid Oil Price Surge and Rate Hike Fears

The prices of gold and silver plunged sharply on Monday, falling up to 3% as rising oil prices fueled inflation concerns and strengthened expectations of further interest rate hikes by the US Federal Reserve.

On the MCX, October 2026 gold futures declined Rs 3,656, or 2.42%, to Rs 1,47,225 per 10 grams while December 2026 silver futures fell Rs 7,563, or 3.22%, to Rs 2,27,133 per kg at the latest check.

The sell-off was also visible in international markets, with spot gold down 1.5% at $4,223.95 per ounce and US gold futures declining 1.5% to $4,257.90.