Mumbai, March 19 (NationPress) The prices of gold and silver experienced a notable decline on Thursday after the US Federal Reserve revealed its latest monetary policy decision overnight. This drop occurred despite the growing geopolitical tensions in the Middle East, which kept attention on precious metals.

On the Multi Commodity Exchange (MCX), gold futures for April 2 were trading about 1 percent lower, down by Rs 1,313 to reach Rs 1,51,712, hitting an intraday low around 10:22 am. Similarly, silver futures for May 5 fell by 2 percent or Rs 5,111 to settle at Rs 2,43,083.

As anticipated, the US Federal Reserve opted to maintain key interest rates unchanged for the second consecutive policy meeting this year, following three successive rate cuts of 25 basis points each in late 2025.

During its meeting on March 18, the Federal Open Market Committee (FOMC) kept the benchmark federal funds rate steady in the range of 3.5 percent to 3.75 percent, aligning with market expectations amidst rising inflation risks tied to geopolitical events.

Nevertheless, even with a supportive environment, international bullion prices remained under pressure. By around 10:30 am, gold traded down 0.92 percent at $4,850 per ounce, while silver fell 2.42 percent to $75.73 per ounce.

Ponmudi R, the CEO of Enrich Money, noted that COMEX gold is sustaining above key short-term support levels, with the overall trend remaining positive despite geopolitical tensions.

He stated, “The $4,850–$4,900 range is a significant resistance zone. A consistent move above $4,900 could drive prices up to $4,950–$5,000, whereas a drop below $4,800 may lead to increased weakness.”

On the domestic scene, he pointed out that MCX gold is maintaining levels above the Rs 1,50,000–Rs 1,52,000 support range, with resistance seen around Rs 1,55,000–Rs 1,56,000. A sustained rise above Rs 1,57,000 could enhance bullish momentum.

Regarding silver, Ponmudi remarked that COMEX silver is holding above the $74–$75 support level, with resistance set in the $78–$80 range. A breakout above $80 could trigger more upward movement, while a drop below $75 might lead to further declines.

He also mentioned that MCX silver is currently under pressure, trading between the Rs 2,42,000–Rs 2,40,000 support band, with immediate resistance at Rs 2,47,000–Rs 2,50,000. A fall below Rs 2,40,000 could result in additional downturns.

In the meantime, oil prices surged by up to 5 percent.

Brent crude futures increased nearly 5 percent to $112.83 per barrel, approaching their all-time high of $112.87. Meanwhile, WTI crude futures were trading at $100.02 per barrel.