Mumbai: Gold and silver prices declined on Tuesday amid prevailing global uncertainty, with both precious metals trading lower by up to around 1 per cent.
On the Multi Commodity Exchange (MCX), gold contracts for June 5 were trading at Rs 1,53,415, down 0.34 per cent or Rs 528. The yellow metal was at Rs 1,53,585 per 10 grams, a decline of Rs 358 or 0.23 per cent, at around 11:55 a.m. It touched an intraday high of Rs 1,53,992.
On the other hand, silver futures contracts for May 5 were down around 0.92 per cent, or Rs 2,335, at Rs 2,50,210. The white metal recorded an intraday high of Rs 2,51,743 and was trading at Rs 2,50,903 per kg, down Rs 1,642 or 0.65 per cent.
In the international markets as well, both precious metals were trading in the red. COMEX gold fell 0.43 per cent to $4,807 per ounce, while silver declined 1.44 per cent to $78.885 per ounce.
A commodity market expert said that uncertainty surrounding the US-Iran ceasefire and upcoming macroeconomic events has led to cautious sentiment, resulting in a marginal dip in gold prices.
According to the analyst, markets remained on edge over whether fresh peace talks would materialise before the ceasefire expires this week, with conflicting signals from both sides adding to volatility.
While US President Donald Trump confirmed that a delegation led by Vice President JD Vance would travel to Pakistan for negotiations, Iranian officials indicated that talks were unlikely as long as the US naval blockade remains in place. However, reports suggested Tehran may still participate through regional mediators. Geopolitical risks were further underscored by recent developments, including the US capture of an Iran-flagged vessel.
The expert added that, alongside geopolitical developments, investor focus has shifted to domestic factors, particularly the Senate confirmation hearing of Federal Reserve Chair nominee Kevin Warsh. His relatively hawkish stance on monetary policy and preference for a leaner balance sheet have previously weighed on bullion.
With uncertainty around both geopolitics and the policy outlook persisting, gold remains under pressure.
Echoing this trend, oil prices also declined by up to 2 per cent.
Brent crude futures fell 1.71 per cent to $93.84 per barrel, hitting an intraday low as of 12:30 pm, while US West Texas Intermediate (WTI) traded at $85.5, down 2 per cent from the previous close.
(IANS)
