Overview
- Domestic markets posted sharp one-day corrections on Wednesday, June 3, with Indian 99.9% purity gold down Rs 1,850 to Rs 159,600 per 10 grams and Pakistan down Rs 8,600 to Rs 467,762 per tola.
- International spot gold is trading in the mid‑$4,400s per ounce, a retreat from recent peaks as traders weigh rate expectations against safe‑haven flows.
- Market participants say the dominant near‑term forces are a stronger US dollar and higher Treasury yields that raise the cost of holding non‑yielding metals even as US–Iran tensions sustain some safe‑haven demand.
- Exchange contracts showed mixed action as MCX gold futures staged intraday recoveries while MCX silver futures eased to about Rs 262,337 per kilogram for July delivery, reflecting larger percentage swings in silver.
- The backdrop remains a 2025–early‑2026 rally driven by inflation hedging and central bank buying that is now highly sensitive to Fed signals, oil moves and local premiums, which will influence consumer costs and investor timing in coming weeks.