Gold, silver prices fall on MCX as geopolitical tensions weigh on sentiment
Synopsis
Gold and silver slipped on MCX on 21 May, with silver taking the steeper hit — down 1.4% to ₹2,70,401. Analysts say the next move hinges on geopolitical developments and safe-haven demand, with silver facing a key test at the ₹2,71,000 support level.
Key Takeaways
MCX gold futures fell 0.42% to an intraday low of ₹1,59,319 on 21 May .
MCX silver futures dropped 1.4% to ₹2,70,401 , underperforming gold on the day.
COMEX gold traded at $4,525.80/oz (down 0.21% ); COMEX silver at $75.37/oz (down 1.06% ).
Analysts see ₹2,75,000–₹2,76,000 as immediate resistance for silver; a break below ₹2,71,000 could trigger a slide to ₹2,68,000–₹2,67,000 .
Brent crude rose 1.55% to $106.65/barrel , diverging sharply from the precious metals trend.
Gold and silver prices declined on the Multi Commodity Exchange (MCX) on Thursday, 21 May, as investors weighed safe-haven demand against a backdrop of persistent geopolitical uncertainties. Both metals also slipped in international markets, tracking a cautious global mood.
MCX Gold Performance
MCX gold futures (June 5) fell as much as 0.42%, or ₹687, to an intraday low of ₹1,59,319 around 12 pm IST. The yellow metal was last trading at ₹1,59,400, down 0.38% or ₹606, after touching an intraday high of ₹1,59,992. Gold opened the session at ₹1,59,900 on the exchange.
Silver Sees Steeper Losses
MCX silver futures (July 3) took a sharper hit, declining 1.4% or ₹3,864 to an intraday low of ₹2,70,401. The white metal was trading at ₹2,70,810, down 1.26% or ₹3,455, after an intraday high of ₹2,73,196. Silver opened the day at ₹2,72,275.
International Markets Mirror Domestic Weakness
Precious metals were also under pressure globally. COMEX gold traded 0.21% lower at $4,525.80 per ounce, while COMEX silver declined 1.06% to $75.37 per ounce. Notably, the domestic MCX moves broadly tracked the international trend, with silver underperforming gold in both markets.
What Analysts Are Watching
According to market experts, MCX silver opened sharply lower and continued to trade cautiously. The ₹2,75,000–₹2,76,000 range is seen as an immediate resistance zone; a sustained move above these levels could support a recovery towards ₹2,78,000–₹2,80,000. On the downside, a breach below ₹2,71,000 may drag silver towards the ₹2,68,000–₹2,67,000 band.
For gold, analysts noted that prices held above the ₹1,59,500 level during the session. The near-term outlook remains cautious, with price direction likely hinging on global risk sentiment and geopolitical developments, according to market experts.
Crude Oil Moves in Opposite Direction
In contrast to precious metals, crude oil firmed up. International benchmark Brent crude rose 1.55% to $106.65 per barrel, while US WTI crude climbed nearly 2% to $100.11 per barrel. The divergence between rising crude and falling precious metals suggests markets are navigating conflicting signals on inflation and risk appetite.
The near-term trend in both gold and silver will largely depend on how global geopolitical tensions evolve and whether safe-haven demand picks up meaningfully in the sessions ahead.
Point of View
Or that the metals rally has run ahead of fundamentals and is correcting. Silver's steeper fall relative to gold also points to weakening industrial demand expectations, not just a sentiment shift. With Brent above $106 and WTI near $100, the energy-metals divergence could widen further if geopolitical risk is being priced as an oil story rather than a broad risk-off event.
NationPress
7 Jul 2026
Frequently Asked Questions
Why did gold and silver prices fall on MCX on 21 May?
Gold and silver fell on MCX on 21 May as investors remained cautious amid geopolitical uncertainties, with safe-haven demand failing to provide enough support. Both metals also tracked weakness in international COMEX markets.
What are the key support and resistance levels for MCX silver?
According to market experts, MCX silver faces immediate resistance at ₹2,75,000–₹2,76,000, with a sustained move above that range potentially pushing prices towards ₹2,78,000–₹2,80,000. On the downside, a breach below ₹2,71,000 could pull prices to the ₹2,68,000–₹2,67,000 zone.
How did international gold and silver prices move on the same day?
COMEX gold fell 0.21% to $4,525.80 per ounce, while COMEX silver declined 1.06% to $75.37 per ounce. Domestic MCX prices broadly mirrored the international trend, with silver underperforming gold in both markets.
What is the near-term outlook for gold prices on MCX?
Analysts say the near-term outlook for MCX gold remains cautious, with price direction likely dependent on global risk sentiment and geopolitical developments. Gold held above the ₹1,59,500 level during the session, which experts are watching as a key marker.
How did crude oil move compared to precious metals on 21 May?
Crude oil moved in the opposite direction — Brent crude rose 1.55% to $106.65 per barrel and US WTI crude climbed nearly 2% to $100.11 per barrel, diverging sharply from the decline in gold and silver.
