Gold and silver prices experienced a significant decline on the Multi Commodity Exchange on Friday, as increasing energy prices reignited inflation worries and bolstered expectations for prolonged elevated interest rates. Investors were attentively observing the discussions between U.S. President Donald Trump and Chinese President Xi Jinping. In the domestic market, MCX silver futures for July 2026 delivery decreased by Rs 17,500 or 6%, settling at Rs 2,72,267 per kg. Gold futures for June 2026 delivery experienced a decline of Rs 3,127, representing a 2% decrease, settling at Rs 1,58,851 per 10 grams. In the prior session, silver and gold concluded with little change.
Market sentiment regarding gold continued to face challenges as rising crude oil prices reignited concerns about inflation, leading to an increase in bond yields and the U.S. dollar. This development has subsequently diminished expectations for imminent rate reductions, exerting downward pressure on bullion prices. In the international market, spot gold experienced a decline for the fourth consecutive session, decreasing by 0.8% to $4,613.19 per ounce, marking its lowest level since May 6. The precious metal has experienced a decline of 2.1% thus far this week. Among other precious metals, spot silver decreased by 3.1% to $80.93 per ounce, platinum fell by 1.7% to $2,021.75, and palladium experienced a decline of 0.9% to $1,423.75.
Trump is poised to engage in a series of meetings with Xi in Beijing, where the discussions are anticipated to center on economic matters, maintaining the delicate trade truce, and tackling geopolitical tensions, including the conflict in the Middle East. The U.S. president is anticipated to pursue China’s assistance in addressing the conflict that erupted alongside Israel in late February; however, analysts contend that Beijing is improbable to extend the support that Washington desires. Manoj Kumar Jain indicated that gold and silver prices are anticipated to exhibit volatility in today’s session, influenced by fluctuations in the dollar index and the results of the U.S.-China Presidents’ summit.
He stated that gold exhibits support in the range of $4,634-4,600 per troy ounce and faces resistance between $4,722-4,770, whereas silver shows support at $83.00-80.00 and encounters resistance at $87.70-90.00 per troy ounce. On the MCX, gold exhibits support levels at Rs 1,60,300-1,59,100 and resistance levels at Rs 1,63,200-1,64,400, whereas silver shows support at Rs 2,85,500-2,78,800 and resistance at Rs 2,96,600-3,02,000. Jain recommended that investors refrain from initiating new positions in gold and silver at this juncture, particularly in light of the forthcoming meeting between the U.S. and Chinese presidents.