22 May,2026 02:04 PM IST | Mumbai | mid-day online correspondent
Gold prices under pressure. Representational Image
Gold and silver prices opened lower on Friday on the Multi Commodity Exchange (MCX), weighed down by a stronger US dollar, rising Treasury yields and firm crude oil prices. The market also reacted to growing expectations that the US Federal Reserve may continue with interest rate hikes.
Gold futures for June delivery fell by Rs 521, or 0.33 per cent, to Rs 1,59,085 per 10 grams on the MCX. Trading activity remained active with a business turnover of 790 lots, reported PTI.
Analysts attributed the fall in gold prices to weak global cues, as per the news agency.
Silver prices also witnessed a sharp decline. Silver contracts for July delivery dropped by Rs 1,883, or 0.69 per cent, to Rs 2,73,000 per kilogram, with a turnover of 1,492 lots, as per PTI.
For the white metal fall, a sell-off by participants mainly weighed on the prices, said an analyst, reported PTI.
Globally, gold futures declined 0.55 per cent to USD 4,517.94 per ounce in New York, while silver slipped 0.53 per cent to USD 76.26 per ounce, reported the news agency.
Even though bullion prices remained under pressure, hopes of easing tensions in the Middle East prevented a steeper fall. Market sentiment improved slightly after reports suggested that the US and Iran had reached the final draft of a peace agreement with Pakistan acting as mediator.
US Secretary of State Marco Rubio comments may have also helped calm investor concerns. Although Rubio warned that he does not want to be overly optimistic, the comments were enough to temporarily calm markets.
Meanwhile, the Indian rupee strengthened by 18 paise to 96.18 against the US dollar in early trade on Friday. The rupee found support from cooling crude oil prices, easing geopolitical tensions and active intervention by the Reserve Bank of India (RBI).
At the interbank foreign exchange market, the rupee opened at 96.30 and later touched 96.18 in early trading. Traders said Brent crude oil cooling near the USD 104 mark also reduced immediate pressure on the Indian currency.
(With PTI Inputs)
