Gold and Silver Prices Decline Amid Global Uncertainty
Market Update on Precious Metals
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Mumbai, May 29: On Friday morning, gold and silver prices experienced a downturn, reflecting ongoing global uncertainties, with both precious metals dropping nearly 1 percent.
As per the Multi Commodity Exchange (MCX), gold futures for June 5 were priced at Rs 1,56,683 per 10 grams, marking a decrease of Rs 242 or 0.15 percent from the previous closing price of Rs 1,56,925.
By around 11:20 am, the price of gold fell by 0.38 percent or Rs 609, reaching an intraday low of Rs 1,56,316. During the session, it peaked at Rs 1,57,197, which was an increase of 0.17 percent or Rs 272.
In the case of silver futures for July 3, the trading price was Rs 2,68,381 per kg, down Rs 1,156 or 0.43 percent from the last close of Rs 2,69,537.
Throughout the session, silver hit an intraday low of Rs 2,67,500, down 0.75 percent or Rs 2,037, while its highest point was Rs 2,69,400, a slight decrease of 0.05 percent or Rs 137.
Internationally, precious metals showed slight gains, with COMEX gold rising by 0.17 percent to $1,540 per ounce, and COMEX silver increasing by 0.25 percent, trading near $18 per ounce.
Reports indicate that US and Iranian negotiators have tentatively agreed to extend the ceasefire in their ongoing conflict for another 60 days and initiate new discussions regarding Tehran’s nuclear program, according to a US official.
US Vice President JD Vance confirmed that a preliminary understanding had been reached, although it remains uncertain whether President Donald Trump will endorse it.
Recent tensions escalated following US strikes on specific locations in southern Iran, which prompted retaliatory claims from Iran.
Market analysts suggest that gold prices are stabilizing around the $1,500 per ounce mark after a recovery in the previous session, as easing geopolitical tensions between the US and Iran have alleviated concerns regarding inflation and interest rates.
They also noted that the potential extension of the ceasefire and discussions about Iran’s nuclear program, along with talks on unrestricted shipping through the Strait of Hormuz, have improved market sentiment, reducing the demand for safe-haven assets like precious metals.
Furthermore, analysts indicated that silver is experiencing cautious trading amid ongoing market volatility, with geopolitical developments and safe-haven demand likely to remain significant factors influencing precious metal prices in the near future.