Gold and silver prices on the Multi Commodity Exchange (MCX) came under sharp selling pressure on Tuesday, 23 June, with silver plunging as much as 3.30 per cent and gold shedding up to 1.42 per cent intraday, as rising expectations of further US Federal Reserve rate hikes dented investor appetite for precious metals globally.

Gold Price Movement on MCX

Gold futures (August contract) opened at ₹1,46,776 per 10 grams, already down ₹1,412 or 0.95 per cent from the previous close of ₹1,48,188. By around 12 pm, the yellow metal was trading at ₹1,46,379, lower by ₹1,739 or 1.17 per cent. The session low hit ₹1,46,070, a decline of ₹2,118 or 1.42 per cent, while the intraday high was recorded at ₹1,47,090.

According to market analysts, MCX gold remains under pressure despite attempting to stabilise above key support levels. Immediate support is placed in the ₹1,46,000–₹1,45,600 range, with resistance seen at ₹1,48,000–₹1,48,400. A sustained move above the resistance zone could push prices toward ₹1,49,000–₹1,50,000, analysts noted.

Silver Suffers Steeper Losses

Silver futures (July contract) bore the brunt of the sell-off, opening at ₹2,27,676 per kg — down ₹6,634 or 2.83 per cent from the previous close of ₹2,34,310. The white metal later slipped to ₹2,27,119, a fall of ₹7,191 or 3.07 per cent, before touching a session low of ₹2,26,556, plunging ₹7,754 or 3.30 per cent.

Analysts said the near-term bias for silver remains weak following the sharp gap-down open. Immediate resistance is placed at ₹2,30,500–₹2,31,600, while a decisive break below ₹2,28,000 could drag prices toward ₹2,26,000 and potentially ₹2,24,000. Reclaiming the ₹2,30,000 mark would be crucial for any meaningful recovery, they added.

What Is Driving the Weakness

Market experts attributed the decline in precious metals to two converging forces: a strengthening US dollar and growing expectations that the Fed will maintain its tight monetary stance to keep inflation in check. A stronger dollar makes dollar-denominated commodities such as gold and silver more expensive for overseas buyers, typically suppressing demand.

This comes amid a broader global risk-off mood, with investors reassessing their exposure to non-yielding assets as interest rate expectations shift. Notably, this is part of a wider pattern seen across global commodity markets whenever Fed hawkishness reasserts itself.

Crude Oil and the Broader Commodity Picture

The weakness was not confined to precious metals. In the energy complex, international benchmark Brent crude fell 0.5 per cent to $77.51 per barrel, while US West Texas Intermediate (WTI) crude declined 0.35 per cent to $73.60 per barrel, reflecting a cautious tone across commodity markets.

What to Watch Next

Investors are closely tracking upcoming US employment and unemployment data due later this week, which analysts say could serve as the next major trigger for gold and silver prices. A stronger-than-expected jobs print would likely reinforce Fed rate hike bets, adding further downward pressure on precious metals, while a softer reading could offer some relief to bulls.