Silver Prices Plummet Below Rs 2.28 Lakh Amid Global Sell-Off

Silver prices plummeted over Rs 7,000 on the MCX on Monday, falling below the crucial mark of Rs 2.28 lakh per kg amid a global sell-off in precious metals.

The decline came as rising crude oil prices heightened inflation concerns globally and strengthened market expectations that the US Federal Reserve may keep interest rates higher for longer or consider further policy tightening.

Higher interest rates and elevated US Treasury yields typically reduce the appeal of precious metals, which do not offer interest income, while a stronger dollar makes commodities priced in the US currency more expensive for overseas buyers.