Silver Prices Plummet Over Rs 7,000 on MCX Amid Global Sell-Off
Silver prices plummeted on the Multi Commodity Exchange (MCX) on Monday, shedding over Rs 7,000 per kg and slipping below the critical Rs 2.28 lakh mark amid a global sell-off in precious metals.
The sharp decline came as rising crude oil prices heightened global inflation concerns, leading to expectations that the US Federal Reserve could maintain higher interest rates or consider further policy tightening.
Higher interest rates and elevated US Treasury yields typically weigh on precious metals, which do not generate interest income. A stronger US dollar also makes dollar-denominated commodities more expensive for overseas buyers.
The December silver futures contract on MCX was trading at Rs 2,27,494 per kg, down Rs 7,202, or 3.07 percent, from its previous close of Rs 2,34,696.