Gold, Silver Prices Slump Amid Escalating US-Iran Tensions

Gold and silver prices have dropped by up to nearly 1% in recent trading on regional tensions. On the Multi Commodity Exchange (MCX), gold futures for August delivery opened at Rs 1,42,392 per 10 grams, down 0.30% from the previous close of Rs 1,42,821 per 10 grams.

The yellow metal fell as much as Rs 1,079 or 0.75% to an intraday low of Rs 1,41,742 per 10 grams, but later touched an intraday high of Rs 1,42,518 before trading at Rs 1,42,376, down Rs 445 or 0.31%, by the last count.

Silver futures for September delivery also opened lower at Rs 2,18,280 per kg, down Rs 1,095 or 0.49% from the previous close of Rs 2,19,375 per kg. The white metal declined by as much as Rs 2,050 or nearly 1% to hit an intraday low of Rs 2,17,325 per kg.

The weakness in gold and silver prices is attributed to the strengthening US dollar index, which climbed above the 101 mark amid escalating geopolitical tensions between the US and Iran. Analysts say that from a technical perspective, MCX gold opened with a gap down and slipped below the Rs 1,42,000 mark, continuing to trade with a weak bias around Rs 1,41,500.