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Precious-Metals Selloff Deepens as Gold and Silver Join Sharp October Drop

Rising oil and firmer US rate expectations pushed bond yields up and triggered heavy selling that erased months of gains.

Overview

  • Domestic prices plunged with 99.9% purity gold quoted near ₹1,42,000 per 10 grams and MCX gold futures falling about ₹4,347 to ₹1,38,419 per 10g while MCX silver futures dropped roughly ₹10,577 to ₹1,78,900 per kg.
  • International spot markets logged large moves as spot gold fell about $146 to roughly $3,875 per ounce and spot silver slid about $3 to near $49 per ounce, marking one of the steepest daily falls this month.
  • Market participants said higher crude oil lifted inflation expectations which, together with stronger US rate signals and rising bond yields, made non‑yielding bullion less attractive and prompted investor selling.
  • Forced liquidations from equity losses and built-up speculative positions, plus reports of some Chinese selling to raise cash, amplified the decline while silver’s industrial use in solar and electronics made its drop steeper.
  • Analysts expect festival and wedding buying in India and continued central-bank purchases to provide demand support that could limit further falls even as volatility remains elevated and prices recover gradually.