Despite several consumer goods and electronics makers increasing prices of AC, fridge, TV and other products for the third time, gold and silver prices continued to decline. Two weeks are left for Navratri to start. Even before this, on September 28, the price of gold saw a drop of more than 3600 rupees. At the same time, silver prices have seen a drop of around Rs 7000.
The special thing is that for the first time after August 6, the price of gold has fallen below 1.50 lakh rupees. According to experts, the Middle East war, inflation, Fed rate hike, rise in bond yields and rise in the dollar index are all factors that are causing the sharp drop in gold prices. The big question now is whether gold and silver prices will see further decline till Diwali? Let’s try to understand it in detail…
Big fall in gold prices
Gold prices have fallen below Rs 1.50 lakh on the country’s futures market Multi Commodity Exchange. For the first time since August 6, gold has fallen below Rs 1.5 lakh during the trading session. According to exchange data, at 12:50 pm, gold was Rs. 3,877 per ten grams with a reduction of Rs. 1,49,400 was trading. While the price of gold has fallen by more than 3900 rupees to 1,49,360 rupees during trading. Gold price was Rs 1,53,277 on the last trading day of last week. When the market opened this morning, the price was around Rs. 3000 reduced to Rs. 1,50,399 had come up. The special thing is that the price of gold is decreasing for the 5th day in a row. On September 18, gold was Rs. closed with a jump of 1,55,942. In which a decrease of Rs.6,582 has been reported so far.
Silver also rose with a bang
On the other hand, silver prices are also seeing a big drop. Surprisingly, the price of silver has fallen by more than Rs 8200 in almost 4 hours of trading. Silver is seen falling by Rs 8112 to Rs 2,26,584 per kg at 1 pm on MCX. While silver fell by Rs 8,255 to Rs 2,26,441 per kg during the business session. However, on the last trading day of last week, silver prices rose to Rs. 2,34,696 per kg. While this morning the price was seen at Rs.2,32,300 per kg. However, for the first 4 days, the price of silver saw a continuous fall. On September 18, the price of silver was Rs 2,41,603. Since then, the price of silver per kg has increased by Rs. There has been a reduction of over 15,000.
Will gold get cheaper?
Before the start of Navratri, the prices of both gold and silver have seen a sharp decline. The big question now is whether the prices will come down further by Diwali. Opinions of experts are divided on this. Commodity expert Anuj Gupta says the international environment is against both gold and silver. The war does not stop. Due to which crude oil prices are increasing.
Anuj Gupta: The price of crude oil is expected to remain between 100 and 110 dollars per barrel in the coming days as well. The effect of which will be seen on inflation. The dollar index will rise and lead gold and silver prices downwards. It means that by Diwali the price of gold will be Rs. 10 thousand and silver price Rs. Expected to be in the range of 2 lakhs.
On the other hand, Ajay Kedia, director of Kedia Advisory, said that although both gold and silver weeks are currently underway, other factors are also pointing in the same direction. But Diwali festive season demand and buying by global central banks could push gold once again. It means that the price of gold may increase. According to Kedia, by Diwali, gold prices will be Rs. 1.60 lakhs level can be seen. While the price of silver can be seen between 2.75 to 2.80.
