Significant declines were recorded in gold and silver prices on Wednesday in both global and domestic markets. This downturn is welcome news for those who have been considering purchasing jewelry or investing.
Gold Rate Today: A sharp drop in domestic and global gold and silver prices was observed Wednesday morning. On the MCX, gold traded lower in early trading. Gold with a June 5, 2025 delivery date was trading at ₹96,726 per 10 grams, down 0.78% or ₹765.
Silver prices also saw a decline alongside gold. Silver with a July 4, 2025 delivery date was trading at ₹96,496 per kilogram, down 0.21% or ₹205.
Gold Price Decline on MCX
On the Multi Commodity Exchange (MCX), gold with a June 5, 2025 delivery date was seen trading at ₹96,726 per 10 grams on Wednesday morning, down 0.78% or ₹765. On Tuesday, it closed at ₹97,503, showing a sharp increase of 3.02% or ₹2,854. However, today's sudden drop reversed the market trend.
Experts believe this decline may be temporary, and a resurgence could occur in the coming days. Short-term investors and buyers might capitalize on this opportunity.
Silver Also Cheaper
Along with gold, silver prices also experienced a decline. On the MCX, silver with a July 4, 2025 delivery date was trading at ₹96,496 per kilogram on Wednesday morning, down 0.21% or ₹205. On Tuesday, it closed at ₹96,799 per kilogram. Tuesday had seen a slight increase in silver prices, closing up 0.10% or ₹98. However, Wednesday's market reversal led to a fall in silver prices.
Impact of International Market Decline
In the international market, gold and silver prices also witnessed a decline. On COMEX, gold traded at $3,397.40 per ounce, down 0.74% or $25.40. Meanwhile, the gold spot price fell by 1.34% or $46.06, reaching $3,385.66 per ounce.
Similarly, COMEX silver was trading at $33.28 per ounce, down 0.32% or $0.11. The silver spot price also decreased by 0.51% or $0.17, settling at $33.05 per ounce.
Main Reasons for the Decline
- Potential interest rate hikes by the US Federal Reserve: This has strengthened the dollar, causing investors to distance themselves from gold.
- Geopolitical tensions in Asia: Diplomatic developments in several countries have led investors to shy away from safe haven investments.
- Profit-booking after recent gains: Investors have begun selling to realize profits.
- Strengthening dollar index: Investing in the dollar appears more profitable, reducing demand for gold and silver.
If you're planning to buy gold or silver jewelry or invest in physical gold, this might be the right time. If global uncertainty persists in the coming months, gold and silver prices could rise again.
