On Thursday, MCX gold futures traded at ₹1.43 lakh per 10 grams while silver settled at ₹1.92 lakh per kg, reflecting a shift in investor sentiment amid the Fed’s rate decision.
The U.S. Federal Reserve held its policy rate steady at 3.75%-4.00%, yet two officials hinted at a possible hike, tightening the outlook for future monetary policy.
Silver’s steeper slide—1.18% versus gold’s 0.28%—highlights its susceptibility to industrial demand and sentiment swings, a point noted by Gaurav Garg, Head of Research at Lemonn.
Traders are now looking to the U.S. PCE inflation report, set for release on October 31, to gauge the next move on rates; meanwhile, the dollar and Treasury yields will continue to weigh on non‑yielding assets like gold and silver.
Consumer demand during the festive season is expected to stay resilient, according to MMTC‑PAMP CEO Samit Guha, who predicts a shift toward smaller‑denomination bars and digital gold as domestic buyers navigate short‑term price swings.