Gold and silver prices continue to fluctuate in the international and domestic markets. Amid a strengthening dollar and global tensions, investors have accelerated profit-booking. Long-term price gains are expected.
Gold and silver fall in the international market (Image Source: Internet)
New Delhi: Gold and silver prices have declined after rising in the past few days. This is primarily due to the strengthening dollar. When the dollar strengthens, it puts pressure on bullion prices like gold and silver, as their prices are denominated in dollars.
Prices had been rising for the past four days, but then investors began profit-booking. This led to gold falling to $5240 per ounce and silver to $87.155 per ounce on COMEX today.
Gold and silver prices also closed lower on the MCX. Gold prices were recorded at ₹159,916 per ten grams and silver at ₹260,000 per kilogram. Investors should trade cautiously, keeping in mind short-term fluctuations.
Aksha Kamboj, Vice President of the Indian Bullion and Jewelers Association (IBJA), stated that industrial demand for silver remains strong, and investors are buying gold for hedging purposes. In the long term, gold and silver prices are likely to rise.
Gold and silver prices are also fluctuating due to rising tensions in the Middle East and uncertainty surrounding the US government's tariff policy. The US Supreme Court declared some of the Trump administration's tariffs illegal, following which President Trump announced a 15% tariff on all countries.
This decision, along with the strengthening dollar, put pressure on bullion prices in the international market. Some companies and countries have requested tariff refunds from the US government.
In summary, gold and silver prices are currently experiencing short-term volatility, but the potential for price increases remains in the long term. Investors should invest carefully, keeping market conditions and dollar strength in mind.
