According to Kotak Securities, MCX Gold August futures face strong resistance near ₹1.51 lakh, a level that could emerge as a key hurdle for the yellow metal in the near term. The brokerage expects resistance for MCX Gold August at ₹1,48,732, followed by ₹1,49,412 and ₹1,51,613, while on the downside, support is placed at ₹1,46,532, followed by ₹1,45,852 and ₹1,43,651. For spot gold, resistance levels are seen at $4,135.9, $4,163.8 and $4,254 per ounce, while support is expected at $4,045.7, $4,017.9 and $3,927.7. MCX Silver July faces resistance at ₹2,38,564, ₹2,40,674 and ₹2,47,503, while support is seen at ₹2,31,736, ₹2,29,626 and ₹2,22,797. As per CNBC TV18, MCX gold has fallen sharply in recent sessions, slipping below the key ₹1.50 lakh per 10 grams level, while silver has also extended its decline, moving closer to the ₹2.35–2.40 lakh per kg zone.
Gold and silver recorded one of their worst weekly performances of 2026, with spot gold shattering by over 4% to hit the year's low of approximately $4,330 per ounce and spot silver crashing by nearly 9% in a single day to end the week below $68 per ounce. According to reports from Goodreturns, this brutal sell-off occurred despite crude oil prices falling significantly, highlighting the metal's sensitivity to broader market factors. Latest developments show silver prices plummeted over 4% to a two-month low near $64.50 per ounce, driven by surging U.S. rate-hike expectations and geopolitical shifts, with bears now eyeing the critical $60.00 psychological level as the next immediate target. As per CNBC TV18, spot gold briefly slipped toward the $4,000 per ounce mark, while silver tested levels near $61.50 before recovering some losses, though analysts caution that volatility is likely to remain elevated as markets digest shifting Fed expectations and geopolitical developments.
In India, precious metals faced severe sell-offs with MCX gold of August 2026 expiry falling below ₹1.56 lakh mark and MCX silver collapsing below ₹2.49 per 1Kg mark. As reported by Goodreturns, 24 carat gold price crashed by ₹34,900 per 100 grams from June 4th to June 6th, while 1Kg silver price topped below ₹2.70 lakh mark. Current Indian rates show 24 carat gold at ₹1,52,730 per 10 grams and 22 carat gold at ₹14 lakh per 100 grams. According to CNBC TV18, the broader trend reflects sustained risk-off flows in global bullion markets, with the weakness being driven by rising expectations of tighter US monetary policy and markets now pricing in a higher probability of a rate hike by the Federal Reserve later this year, following sticky inflation prints.
The precious metals decline was attributed to firmer dollar, soaring bond yields, stronger-than-expected US job reports, a rising probability of interest rate hikes from the US Federal Reserve, and unsettling geopolitical risks in West Asia. According to Goodreturns, these factors created significant headwinds for bullion despite the ongoing Middle East conflict and concerns over energy supply disruptions through the Strait of Hormuz. Latest developments show the weakness has been driven by rising expectations of tighter US monetary policy, with markets now pricing in a higher probability of a rate hike by the Federal Reserve later this year, following sticky inflation prints. As noted by CNBC TV18, the weakness was also reinforced by macro data, with US inflation accelerating to multi-month highs, strengthening the dollar and pushing real yields higher, both typically negative for bullion. According to Kotak Securities, the next major trigger for bullion markets will be the outcome of the Federal Open Market Committee (FOMC) meeting, with the trajectory of gold hinging on the FOMC outcome, particularly the updated dot plot and policy guidance for the rate outlook. As per Kaynat Chainwala from Kotak Securities, any hawkish tilt by the new Fed Chair could add to downside pressure on bullion, while developments in West Asia will continue to drive volatility, with markets closely watching whether the fragile ceasefire holds.
Market sentiment remains influenced by expectations that US interest rates could stay elevated for longer, limiting the upside in precious metals. As reported by Goodreturns, physical demand for gold remained subdued in India as buyers stayed cautious amid volatile international prices, while China's gold premiums eased slightly reflecting softer demand. India's hike in gold and silver import duties to 15% dampened demand, triggering profit-booking and the first ETF outflow in a year. The latest analysis from CNBC TV18 indicates that the market focus has shifted decisively toward US growth and Fed policy, reducing the influence of traditional drivers such as central bank buying and industrial demand in the short term. Despite the ongoing correction, Kotak Securities noted that spot gold rebounded more than 0.5% to trade above $4,090 per ounce after briefly approaching the $4,000 mark, while silver gained over 1% to trade near $64 per ounce. The recovery came after markets reacted to heightened geopolitical tensions following another round of US strikes on Iran and Tehran's announcement regarding the closure of the Strait of Hormuz, with elevated inflation remaining a major headwind as US consumer inflation accelerated to 4.2% year-on-year in May, with monthly inflation rising 0.5%, the fastest pace in more than three years.
