Top News

From the international market to the country's capital Delhi, the price of gold and silver has been hit so hard by the dollar that it is showing no signs of rising. The special thing is that in the month of March, gold has become cheaper by more than Rs 4,400. Whereas a fall of more than Rs 11 thousand has been seen in the price of silver. In fact, due to the ongoing war in the Middle East, there has been an increase in the price of crude oil. Due to which the possibilities of increase in inflation have increased. This is why it is being speculated that the US Central Bank Fed Reserve may press the pause button on interest rates. Due to which an increase has been seen in the dollar index. Due to which there is a decline in the prices of gold and silver. Let us also tell you what is the price of gold and silver in the country's capital Delhi?

How much did gold and silver become cheaper in Delhi?

According to All India Bullion Association, on Monday, silver prices in the national capital fell by Rs 9,000 to Rs 2.56 lakh per kg, while gold prices fell by Rs 2,950 to Rs 1.60 lakh per 10 grams. Analysts said weak global trends and a strong US dollar weighed on the precious metals. Silver fell by Rs 9,000, or 3.4 per cent, to Rs 2,56,500 per kg (including all taxes), lower than Friday's closing price of Rs 2,65,500 per kg. Gold of 99.9 percent purity continued to fall for the third consecutive day; It fell by Rs 2,950, or 1.81 per cent, to Rs 1,60,250 per 10 grams (including all taxes).

Why did the decline occur?

Traders attributed the fall in bullion prices to profit-booking and safe-haven demand shifting towards the US dollar and bonds; This happened because there was a huge jump in the prices of crude oil amid geopolitical tension in West Asia. HDFC Securities Senior Research Analyst Dilip Parmar said that gold prices are currently coming down.

We are seeing a clear shift in demand for safe havens, where investors are moving their money out of precious metals and into US dollars and bonds. He further said that this change is driven by the expectation that global central banks will pause the change in interest rates for some time to deal with inflation arising from disruptions in energy supply due to the US-Iran conflict. Parmar said that there are clear signs of the end of the scope for rise in gold and silver in the domestic market.

Gold and silver in foreign markets

Bullion prices were also trading lower in the international market, showing similar trends as the domestic market; Here spot gold slipped below the level of US $ 5,000 an ounce, while silver fell below US $ 80 an ounce. The yellow metal (gold) was trading down USD 20.94, or 0.42 per cent, at USD 4,998.31 an ounce, while silver fell USD 1.81, or 2.25 per cent, to USD 78.76 an ounce.

What are the experts saying?

Praveen Singh, Research Analyst, Mirae Asset Sharekhan, said that gold is trading with a loss of around USD 4,992 per ounce in foreign markets. This is because the strong US dollar has put pressure on prices. Also, expectations of the Federal Reserve cutting interest rates in the near future have also diminished amid inflation concerns due to rising energy prices.

Kainat Chainwala, AVP Commodity Research, Kotak Securities, said that bullion (gold and silver) prices may remain soft in the near future. Unless there is a major change in the geopolitical or policy outlook, the likelihood of a sharp price movement in either direction is low.

He further said that traders are focusing on the upcoming policy meeting of the Federal Open Market Committee. They are looking for signals about the policy outlook based on updated economic projections from this meeting, as it is widely expected that the Fed will leave interest rates unchanged (ie maintain the status quo).

On the data front, the US Producer Price Index (PPI) and weekly unemployment claims will be closely watched to provide signals about the health of the broader economy, Chainwala said. Despite this, with no signs of abating in the ongoing tensions between the US and Iran, geopolitical risks will remain the main factor determining market movements in the near future.