Gold, silver prices drop sharply as oil prices surge - The Assam Tribune

AI desk brief

Gold and silver fell sharply this week as surging crude prices reinforced inflation fears and the market repriced a higher-for-longer rates backdrop. Gold was down 3.28% on the week and silver 7.83%; on Friday MCX December gold fell 0.81% to Rs 1,42,150/kg and MCX December silver dropped 1.75% to Rs 1,96,100/kg. Gold slipped below $4,000/oz for the first time since mid-July, with analysts citing heavy selling and silver weakness amplified by margin calls tied to weakness in US tech stocks.

Oil hit multi-month highs after renewed attacks on Saudi energy infrastructure and shipping routes, while the rupee weakened on higher oil and dollar demand. Physical demand offered some support in India during Dussehra, but Chinese jewellery demand remained subdued. Market participants said metals could stay under pressure if elevated energy prices keep inflation and policy expectations hawkish; traders are watching next week’s US PCE data and the Fed’s Oct. 27–28 meeting, with another December hike still priced at about 78%. Comex gold resistance is seen at $4,070–$4,100, with support at $3,970–$4,000; MCX gold resistance is Rs 1,43,000–Rs 1,43,700, with support at Rs 1,40,000–Rs 1,41,000.