Gold prices drop ₹9,500 per 10 grams in four days as rate hike bets rise
Gold prices fell ₹9,500 per 10 grams over four sessions and silver dropped ₹7,700 per kg after Fed Chair Kevin Warsh's comments raised expectations of higher US interest rates.
Gold Market
Daily movements in the gold market and what is driving them.
Gold prices fell ₹9,500 per 10 grams over four sessions and silver dropped ₹7,700 per kg after Fed Chair Kevin Warsh's comments raised expectations of higher US interest rates.
Gold steadied near $4,450 an ounce on Monday after suffering its steepest loss in over two months, as Fed Chair Kevin Warsh's commitment to fighting inflation drove bets on a September rate rise.
September is set to bring fresh volatility for gold, with US jobs reports and geopolitical tensions taking centre stage after a notable price decline.
A study by Taurex shows traditional assets including gold, Google and BAE Systems have delivered strong gains since end-2020, outperforming volatile crypto markets.
Crude oil posted its first weekly decline in three weeks as improved flows through the Strait of Hormuz eased supply fears. Brent fell over 5%, WTI over 4%. The move has implications for gold.
Gold fell more than 3% on Friday as Federal Reserve Chair Kevin Warsh’s remarks on inflation boosted expectations for a September interest rate increase. A stronger dollar added to the decline.
Gold has rallied over 13% in August 2026, one of its best months since the gold standard ended. Despite the blistering pace, the metal remains far from overbought, with seasonal and technical factors still in play.
Jefferies' Christopher Wood highlights a sharp divergence: the S&P 500 has doubled in dollar terms since early 2023 but fallen 21% relative to gold. He warns bond yield suppression could weaken the dollar.
Gold prices dropped more than 2.5% on Friday after Federal Reserve Chair Kevin Warsh delivered hawkish remarks at Jackson Hole. A rising US dollar and higher Treasury yields pushed the yellow metal lower.