Gold & Silver Prices Drop Amid Dollar Strength and US Rate Outlook Gold and silver prices continued their decline in Delhi for the fourth consecutive day, driven by a strong US dollar and expectations of sustained high interest rates. On Friday, gold fell Rs 2,840 to Rs 1.5 lakh per 10 grams, while silver hit a two-month low of Rs 2.4 lakh per kilogram, according to the All India Sarafa Association. The yellow metal, priced at 99.9% purity, dropped to Rs 1,50,600 per 10 grams from Rs 1,53,440 the previous day. Silver, meanwhile, plunged Rs 8,040 to Rs 2,40,700 per kg, its lowest level since April 7. Analysts attributed the slump to growing investor preference for the dollar amid anticipation that US interest rates will remain elevated. Saumil Gandhi of HDFC Securities noted that the dollar index reached a one-year high, intensifying pressure on precious metals. "The strength of the US dollar is negatively impacting market sentiment," he said, adding that gold now faces a third weekly loss after reversing from earlier record highs. Pankaj Singh of SmartWealth AI highlighted the correction as a result of prolonged high interest rates, which have pushed Treasury yields higher and increased the opportunity cost of holding non-yielding assets like gold. Internationally, spot gold fell 1.44% to USD 4,148.45 per ounce, while silver dropped 1.51% to USD 64.73 per ounce. Market uncertainty also stemmed from the US-Iran peace agreement, which faced delays due to geopolitical tensions. US Vice-President J D Vance canceled a planned visit to Switzerland, and Iran postponed sending its delegation following Israeli strikes in Lebanon.#us_dollar #mirae_asset_sharekhan #hdfc_securities #all_india_sarafa_association #smartwealth_ai
