Profit booking drags Gold lower, Silver sees sharp fall in morning trade; Check rates here

Gold prices fell nearly 1% on MCX due to profit booking after the previous session’s rally, while silver dropped around 3% following US CPI data and a stronger dollar index.

Post Published By: Sona Saini

Updated : 16 February 2026, 9:23 AM IST

Gold and Silver Decline Amid Rate Cut Uncertainty

New Delhi: Gold prices fell by nearly 1% on the Multi Commodity Exchange (MCX) on Monday morning. After a nearly 2% rise in the previous session, April gold futures fell to around ₹1,54,743 per 10 grams due to profit-booking. Meanwhile, March silver futures saw a sharp decline of nearly 3% to around ₹2,36,915 per kilogram.

Market Impact of US Data

US Consumer Price Index (CPI) data and a slight strengthening of the dollar index put pressure on precious metals. The dollar index rose by about 0.10% to around 97, making gold and silver more expensive for foreign currency holders. According to the U.S. Labor Department, the CPI rose by 0.2% in January, which was lower than market expectations of 0.3%.

Invested in Gold or Silver ETFs? SEBI’s new rules could impact you

Changes in Interest Rate Expectations

Signs of moderate inflation have dampened expectations of an interest rate cut by the U.S. Federal Reserve at its March meeting. Soft inflation typically increases the likelihood of rate cuts, but a strengthening dollar has dampened the luster of gold and silver.

Weakness in International Market

Spot silver fell about 0.6% to $76.92 per ounce in the international market, after rising nearly 3% on Friday. The strengthening dollar and investor caution globally have kept precious metals under pressure.

Why young Indians prefer Gold as top investment, Survey reveals

Is the time right to invest?

Experts believe the price decline may be short-lived and could present a buying opportunity for long-term investors. However, it's important to monitor global economic indicators and the direction of interest rates before investing.