Gold flat, silver down 0.51% on MCX as Fed rate hike fears ease
Synopsis
Gold held near a two-week high on MCX while silver shed over 0.5% on Monday as falling crude oil prices — triggered by an OPEC+ output hike for August — reduced bets on further US Fed rate increases. With COMEX gold up 1% and COMEX silver up 2% in the same session, the MCX-global divergence is a story in itself.
Key Takeaways
MCX gold traded at ₹1,47,177 per 10 grams on 6 July , down ₹200 or 0.14% from the previous close.
MCX silver slipped to ₹2,36,198 per kg , a fall of ₹1,212 or 0.51% .
COMEX gold rose 1% to $4,173.24/oz ; COMEX silver gained 2% to $62.29/oz in international trade.
Brent crude fell 0.76% to $71.55/barrel ; WTI declined nearly 1% to below $69/barrel after OPEC+ raised August output targets.
Experts see gold resistance at ₹1,48,750/10g and silver resistance at ₹2,45,184/kg .
Gold traded nearly flat while silver slipped over 0.5% in early trade on Monday, 6 July on the Multi Commodity Exchange (MCX), as softening crude oil prices dampened expectations of further interest rate hikes by the US Federal Reserve. The divergence between domestic and international prices reflected currency and import-duty dynamics playing out in real time.
Gold's Intraday Movement
MCX gold futures (August 5) opened at ₹1,47,135 per 10 grams, down ₹243 or 0.16% from the previous close of ₹1,47,378. By around 11 am IST, the yellow metal was trading at ₹1,47,177, off ₹200 or 0.14%. It touched an intraday low of ₹1,47,032 (down ₹346 or 0.23%) and a high of ₹1,47,509 (up ₹131 or 0.08%) during the session.
According to commodity market experts, gold remained steady near a two-week high and continued to trade above its key short-term moving averages — a signal of underlying strength. Immediate resistance is seen at ₹1,48,750 per 10 grams, and a breakout above that level could accelerate upward momentum, the experts noted.
Silver Slips but Holds Key Support
MCX silver futures (September 4) opened at ₹2,36,393 per kg, down ₹1,017 or 0.42% from the prior close of ₹2,37,410. The white metal was last seen trading at ₹2,36,198 per kg, a decline of ₹1,212 or 0.51%. It hit an intraday low of ₹2,36,001 (down ₹1,409 or 0.59%) and a high of ₹2,37,676 (up ₹266 or 0.11%).
Despite the softer opening, silver continued to trade above its short-term moving average. Experts said the metal could advance toward the next resistance level of ₹2,45,184 per kg if buying interest picks up.
International Markets Move Opposite
Notably, both metals gained ground in global trade. COMEX gold rose 1% to $4,173.24 per ounce, while COMEX silver climbed 2% to $62.29 per ounce. The divergence between MCX and COMEX prices is largely attributed to a firmer rupee and domestic demand patterns.
Crude Oil Slide Drives Rate-Hike Rethink
Brent crude slipped 0.76%, or 55 cents, to $71.55 per barrel, while US West Texas Intermediate (WTI) crude declined nearly 1%, or 68 cents, to trade below $69 per barrel. The fall followed OPEC+'s decision to raise its production targets for August, easing concerns over global supply shortages.
Lower oil prices reduce inflationary pressure globally, which in turn lowers the probability of additional Fed rate hikes — a dynamic that typically supports precious metals by reducing the opportunity cost of holding non-yielding assets like gold and silver. With the Fed's next policy meeting on the horizon, traders are closely watching US inflation data for further direction.
Point of View
Silver up 2% — yet both lost ground in rupee terms, pointing to a firmer rupee absorbing the global rally rather than any fundamental domestic weakness. The OPEC+ production hike is the real driver here: cheaper crude lowers inflation expectations, which softens the case for more Fed tightening, which in turn lifts gold. The transmission is working — but Indian retail buyers watching MCX prices alone are seeing only half the picture.
NationPress
6 Jul 2026
Frequently Asked Questions
Why did gold prices fall on MCX on 6 July despite rising globally?
MCX gold slipped about 0.14% to ₹1,47,177 per 10 grams even as COMEX gold rose 1% to $4,173.24 per ounce. The divergence is primarily attributed to a relatively firmer rupee, which offsets dollar-denominated gains when converted to MCX prices.
What caused silver to decline on MCX today?
MCX silver fell 0.51% to ₹2,36,198 per kg on 6 July, dragged by profit-taking and a firmer rupee. Globally, COMEX silver actually gained 2% to $62.29 per ounce in the same session.
How does the OPEC+ production hike affect gold and silver prices?
OPEC+ agreed to raise output targets for August, pushing crude oil prices lower. Softer oil reduces global inflation pressure, which in turn lowers the likelihood of further US Federal Reserve rate hikes — a scenario that typically supports precious metals by reducing the cost of holding non-yielding assets.
What are the key resistance levels for gold and silver on MCX?
Commodity market experts place immediate resistance for MCX gold at ₹1,48,750 per 10 grams, with a breakout potentially accelerating upward momentum. For MCX silver, the next resistance level is seen at ₹2,45,184 per kg.
Where did Brent crude and WTI trade on 6 July?
Brent crude fell 0.76%, or 55 cents, to $71.55 per barrel, while WTI crude declined nearly 1%, or 68 cents, to below $69 per barrel, following the OPEC+ decision to increase August production targets.
