Overview
- Global gold slid sharply in early June after stronger‑than‑expected US May payrolls reduced hopes for near‑term rate cuts, leaving spot prices near the mid‑$4,300s per ounce and wiping out gains from January.
- Traders moved into higher‑yielding assets as Treasury yields and the US dollar rose, which raised the opportunity cost of holding non‑yielding gold and forced large liquidations across futures and ETF positions.
- Silver fell more steeply than gold because it faces both weaker investment flows and softer industrial demand, amplifying losses across the precious‑metals complex.
- Ongoing West Asia tensions and a jump in crude prices continue to provide structural support for long‑term bullion demand but have so far been overwhelmed by monetary‑policy signals and a firmer dollar.
- Domestic markets showed sharp transmission of global moves, with sizable weekly declines on MCX and lower retail rates in India, and traders are focused on the June 10 US CPI and further Fed commentary as the next decisive catalysts.