Gold, silver prices fall on MCX as Fed rate hike bets, West Asia fears weigh
Synopsis
Gold and silver took a beating on the MCX on 30 June, with gold futures sliding as much as 1.37% to ₹1,40,450 per 10 grams. The trigger: markets are pricing in three Fed rate hikes this year, starting September, while West Asia uncertainty adds to the jitters. With the US jobs report still pending, the selling pressure may not be done yet.
Key Takeaways
Gold futures (August) on MCX fell up to 1.37% or ₹1,952 , hitting an intraday low of ₹1,40,450 per 10 grams on 30 June .
Silver futures (September) dropped over 1% or ₹2,387 to an intraday low of ₹2,20,247 per kg .
Markets are reportedly pricing in three US Fed rate hikes this year, with the first expected in September .
COMEX gold traded below $4,000 per ounce ; COMEX silver bucked the trend, gaining over 1% to $59.11 .
Brent crude and WTI crude each fell over 1% to $73.08 and below $70 per barrel respectively.
Investors await the US monthly employment report for fresh Fed policy cues.
Gold and silver prices extended their decline on the Multi Commodity Exchange (MCX) on Tuesday, 30 June, as investors remained cautious amid ongoing developments in West Asia and mounting expectations of US Federal Reserve interest rate hikes. The selloff reflects a broader risk-off mood gripping commodity markets globally.
Gold Under Pressure on MCX
Gold futures (August contract) on the MCX dropped as much as 1.37 per cent, or ₹1,952, hitting an intraday low of ₹1,40,450 per 10 grams at around 11:50 am IST. At last count, the yellow metal was trading at ₹1,41,124, down over ₹1,278, or roughly 1 per cent, after touching an intraday high of ₹1,41,501.
The decline marks a continuation of selling pressure that has kept domestic gold prices subdued, with traders reluctant to build fresh long positions ahead of key US data releases.
Silver Also Trades Lower
Silver futures (September contract) fell over 1 per cent, or ₹2,387, to an intraday low of ₹2,20,247 per kg. The white metal was subsequently trading at ₹2,21,715 per kg, down over ₹900, or 0.41 per cent, after an intraday high of ₹2,22,293. According to analysts, the near-term bias for silver remains cautious after the metal failed to sustain above the ₹2,22,500 level — a key resistance zone.
What Is Driving the Selloff
Market experts attribute the pressure on precious metals to two converging forces. First, markets are reportedly pricing in three rate hikes by the US Federal Reserve this year, with the first expected as early as September. Higher interest rates raise the opportunity cost of holding non-yielding assets like gold and silver, making them less attractive to investors.
Second, geopolitical developments in West Asia continue to generate uncertainty, though the risk premium has not been enough to offset the rate-hike headwind. Investors are also awaiting the US monthly employment report for fresh cues on the Fed's policy trajectory — a print stronger than expected could reinforce the case for earlier or more aggressive tightening.
International Markets: A Divergent Picture
On COMEX, gold was trading below the $4,000-an-ounce mark, broadly consistent with the domestic trend. However, COMEX silver bucked the trend, gaining more than 1 per cent to trade at $59.11 — a divergence from MCX silver's decline that analysts say reflects differing industrial demand signals in global versus domestic markets.
Meanwhile, crude oil also came under pressure. Brent crude fell more than 1 per cent to $73.08 per barrel, while US West Texas Intermediate (WTI) crude declined over 1 per cent to trade below the $70-a-barrel mark — adding to the broader commodity weakness.
What to Watch Next
The direction of gold and silver prices in the near term will hinge on the upcoming US jobs data and any fresh Fed commentary. A hawkish signal from the Fed could extend the selloff, while an escalation in West Asia tensions may offer a partial floor for gold as a safe-haven asset. Traders will also monitor whether silver can reclaim the ₹2,22,500 resistance level on the MCX.
Point of View
Silver, and crude on the same session is a textbook risk-off signal driven by US rate expectations — not a commodity-specific story. What is notable is the divergence between COMEX silver gaining over 1% while MCX silver fell, suggesting domestic sentiment is more sensitive to the Fed narrative than global industrial demand signals. With three rate hikes priced in and the US jobs report still outstanding, any upside surprise in employment could deepen the commodity rout. Gold's traditional safe-haven role is being neutralised by the rate-hike premium — a dynamic that has played out repeatedly since 2022 and shows no sign of breaking.
NationPress
30 Jun 2026
Frequently Asked Questions
Why are gold and silver prices falling today on MCX?
Gold and silver prices on the MCX fell on 30 June primarily because markets are pricing in three US Federal Reserve rate hikes this year, starting as early as September. Higher rates increase the opportunity cost of holding non-yielding precious metals, reducing investor appetite.
How much did gold fall on MCX on 30 June?
Gold futures (August contract) on the MCX fell as much as 1.37%, or ₹1,952, to an intraday low of ₹1,40,450 per 10 grams. At last count, gold was trading at ₹1,41,124, down over ₹1,278 or around 1%.
What is the current silver price on MCX?
Silver futures (September contract) on the MCX were trading at ₹2,21,715 per kg on 30 June, down over ₹900 or 0.41%, after hitting an intraday low of ₹2,20,247 per kg. Analysts note the metal failed to hold above the key ₹2,22,500 resistance level.
How is gold performing on COMEX internationally?
On COMEX, gold was trading below the $4,000-per-ounce mark on 30 June, consistent with the domestic downtrend. COMEX silver, however, gained more than 1% to trade at $59.11, diverging from the MCX trend.
What data should gold and silver investors watch next?
Investors are closely watching the upcoming US monthly employment report, which could provide fresh cues on the Federal Reserve's rate trajectory. Any stronger-than-expected jobs data could reinforce rate-hike bets and extend the pressure on precious metals.
