Gold & Silver Extend Losses As Interest Rate Concerns Weigh On Sentiment

24 June : Gold and silver prices traded lower on Wednesday, reflecting weak sentiment in both domestic and international markets amid concerns that higher global interest rates could reduce demand for precious metals.

On the Multi Commodity Exchange (MCX), gold futures for August delivery opened at ₹1,45,000 per 10 grams, down more than 1 per cent from the previous close.

During the session, the yellow metal remained under pressure and touched an intraday low before recovering slightly.

By midday, gold continued to trade below its previous closing level, indicating persistent selling interest.

Silver futures for July delivery also witnessed a decline. The white metal opened lower and extended losses during early trade as investors remained cautious.

Prices slipped nearly 2 per cent at one stage, mirroring weakness across the broader precious metals segment.

International markets reflected a similar trend. Spot gold edged lower, while silver also traded in negative territory as investors weighed the prospect of higher interest rates and their potential impact on non-yielding assets such as precious metals.

Commodity market analysts noted that gold faces immediate resistance around the ₹1.45 lakh to ₹1.46 lakh range.

A sustained move above these levels could help prices recover towards higher targets. However, if gold falls below key support levels, selling pressure may intensify and lead to further declines.

Silver also faces important resistance zones, with analysts warning that a break below crucial support levels could trigger additional weakness.

Analysts remain cautious on gold and silver due to continued selling pressure and weak momentum.

A stronger US dollar has also weighed on precious metals by making them more expensive for global buyers.

Market participants will closely track economic data, central bank decisions and currency movements for clues on the near-term direction of gold and silver prices.