From The Economic Times · Veer Sharma · · 1m 40s
Gold Prices Drop, Silver Rises Amid Fed Rate Hike Shift
Gold falls Rs 1,400/10g as Fed rate hike bets ease, silver rises Rs 1,025/kg.
In brief
Gold falls Rs 1,400/10g as Fed rate hike bets ease, silver rises Rs 1,025/kg. Gold prices dropped Rs 1,400 per 10 grams on MCX while silver rose Rs 1,025 per kg due to reduced expectations of a US Federal Reserve rate hike in October. Originally reported by The Economic Times.
Gold and silver prices open mixed
Gold and silver prices opened mixed on the Multi Commodity Exchange (MCX) on Monday as recent weak US economic data reduced expectations of a US Federal Reserve rate hike in October.
Gold falls Rs 1,400/10 grams
In the domestic market, MCX gold futures for December 2026 delivery fell Rs 1,400 to Rs 1,49,050 per 10 grams.
Silver rises Rs 1,025/kg
MCX silver futures for December 2026 delivery rose Rs 1,025 to Rs 2,26,902 per kg.
US economic data weakens Fed rate hike bets
US job growth slowed more than expected in September, while nonfarm payrolls for the previous two months were revised sharply lower.
Fed rate hike probability drops
Markets now price in a 22% probability of a Fed rate hike in October, down from 64% a week earlier, while the probability of a December rate increase remains at 87%.
US Fed rate hike history
The US central bank last month raised its benchmark overnight interest rate by 25 basis points to a range of 3.75%-4.00%, marking its first rate increase in three years.
Geopolitical developments
Yemen's Saudi-backed, internationally recognised government said it was launching a major military campaign to retake all areas controlled by the Iran-backed Houthis.
The big picture
Gold prices dropped Rs 1,400 per 10 grams on MCX while silver rose Rs 1,025 per kg due to reduced expectations of a US Federal Reserve rate hike in October.
