Gold Price Crash 1%: Did You Just Miss the Dip of the Month?
If you woke up today thinking it’s just another Monday, think again. Gold just slipped, no, it crashed, and not just in points but by a full on 1% on the MCX, and suddenly everyone’s inner investor is wide awake.
MCX Gold December futures fell to ₹1,22,950 per 10 grams, while silver quietly followed with a 0.61% drop to ₹1,53,209 per kg.
Why the sudden tumble?
Thank the stronger US dollar and fading hopes of a Fed rate cut. Gold hates uncertainty… except when it benefits from it. Today, it clearly chose chaos.
But here’s the real question for you: Are you seeing panic? Or are you seeing an opportunity glittering under the rubble?
Because dips like these don’t knock twice.
Why Is Gold Price Today Falling?
Gold is losing its strength because there isn’t any new positive factor in the market that would propel it higher. Investors are now acting with increased caution, scrutinizing every data point as if they were very careful, and the mood has noticeably turned negative. The fading possibility of another US Federal Reserve rate cut has made the atmosphere even more uncertain. The recent US labor market data has given a lift to the dollar, which has made gold instantly less attractive to global buyers. Normally, when the dollar appreciates, gold takes the hit. Also, the reducing geopolitical tensions, especially the Russia-Ukraine talks, are contributing to gold’s diminishing safe-haven appeal.
Major Reasons Behind The Falling Gold Price Today
- Fading US Fed Rate Cut Expectations
- Prospects of a December Fed rate cut have reduced sharply.
- Strong US job data has dampened expectations.
- Without a rate cut, gold loses its shine as interest-bearing assets become more attractive.
- Strong US Employment Data Pressures Gold
- US Labor Department data showed September nonfarm payrolls rose by 1,19,000, far above the estimate of 50,000.
- The robust job growth pushed the US dollar index above 100, its near six-month high.
- A stronger dollar typically reduces demand for gold.
- Easing Geopolitical Tensions
- US President Donald Trump’s proposal to halt the Russia-Ukraine war is reportedly making “very good progress.”
- With geopolitical risks easing, gold, which thrives during uncertainty, faces downward pressure.
Aishwarya is a journalism graduate with over three years of experience thriving in the buzzing corporate media world. She’s got a knack for decoding business news, tracking the twists and turns of the stock market, covering the masala of the entertainment world, and sometimes her stories come with just the right sprinkle of political commentary. She has worked with several organizations, interned at ZEE and gained professional skills at TV9 and News24, And now is learning and writing at NewsX, she’s no stranger to the newsroom hustle. Her storytelling style is fast-paced, creative, and perfectly tailored to connect with both the platform and its audience. Moto: Approaching every story from the reader’s point of view, backing up her insights with solid facts.
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