Gold and Silver Prices Tumble Amid Fed Rate Cut Speculations

Gold and silver prices dropped on Tuesday, following a downtrend in international markets due to uncertainties over US Federal Reserve's interest rate cuts. On the Multi Commodity Exchange, gold futures fell by Rs 122, and silver futures declined by Rs 81. Market experts anticipate cautious trading due to geopolitical concerns and upcoming elections in the US and UK.

Gold and silver prices experienced a decline on Tuesday amid a bearish trend in international markets, driven by uncertainties surrounding potential interest rate cuts by the US Federal Reserve.

On the Multi Commodity Exchange (MCX), gold for August delivery edged lower by Rs 122, or 0.17 percent, settling at Rs 71,532 per 10 grams, after reaching a low of Rs 71,432 per 10 grams. Silver futures for September delivery also fell by Rs 81 to Rs 89,669 per kg on the MCX.

Market experts, including Manav Modi from Motilal Oswal Financial Services Ltd, noted that the ambiguity regarding rate cuts and geopolitical tensions has left market participants uneasy. In overseas markets, gold was trading at USD 2,329.60 per ounce and silver at USD 29.54 per ounce. The focus remains on upcoming US economic data and Federal Reserve movements.