India Gold Prices Slip Amid Fed Rate Hike Fears and Strong US Dollar

Gold prices in India declined on September 13 due to fears of a Federal Reserve rate hike and a strong US dollar. The price of 24K gold slipped to ₹15,458 per gram, while silver remained at ₹245 per gram.

The recent decline in gold prices comes after a steep drop in international prices, which were pressured by stronger U.S. Treasury yields and a firmer dollar. Investors are closely monitoring the Federal Reserve's policy meeting on September 15-16, as heightened inflation expectations and climbing oil prices bolster wagers on a rate hike.

The rising crude prices, driven by the intensifying US-Iran tensions, have deepened inflation worries and made the Fed's policy outlook even more complicated. As a result, the firmer dollar and higher Treasury yields have curbed gold's appeal as a safe haven, despite ongoing geopolitical uncertainty.