Gold and Silver Prices Witness Sharp Decline Amid Global Market Pressures

Gold and silver prices witnessed a sharp correction on Wednesday, offering temporary relief to buyers. In the international market, the price of an ounce (31.10 grams) of pure gold dropped by nearly $150 to $4,110. Reflecting the global trend, the Hyderabad bullion market recorded the price of 24-carat gold at ₹1,50,400 per 10 grams late on Wednesday night, while silver fell to ₹2,42,000 per kilogram. Compared to the previous day, gold declined by more than ₹6,000 per 10 grams and silver dropped by around ₹9,500 per kilogram. Bullion traders believe that continued geopolitical tensions between Iran and the United States could lead to further fluctuations in precious metal prices in the coming weeks.

Market experts attribute the decline to a stronger US dollar, rising crude oil prices, and expectations that the US Federal Reserve may keep interest rates unchanged due to resilient employment data and persistent inflation. International gold prices have reportedly fallen to an 11-week low, declining significantly from their March highs. In India, higher import duties on gold and silver, increased from 6% to 15%, along with the strengthening dollar, have kept domestic prices elevated despite the global correction. Jewellery traders also report growing activity in the grey market, where unbilled gold is being sold at lower prices, impacting sales through official channels.