Gold, Silver Prices Drop as U.S. Tariff Uncertainty Grows

Gold prices dipped slightly during the early U.S. trading session on Monday, reflecting ongoing concerns about the American economy. The precious metal saw a 1.5% decline, according to market data. Meanwhile, the local jewelry sector reported a significant drop in silver prices mid-session, slipping below Rs 94,000, while gold prices decreased by Rs 35 per 10 grams.

Market tools highlighted disappointing trends, particularly in 999 purity silver, which triggered reduced speculative buying from stockists and lower industrial demand from jewelry makers. This resulted in a price gap of Rs 2,900 per 10 grams, with silver quoted at Rs 93,057. Gold also weakened mid-session, falling Rs 35 per 10 grams to Rs 89,948 for 99.5 purity and Rs 90,310 for 999 purity standard gold.

Also read: US Tariffs Issue: Know What Centre Tells Rajya Sabha Over Trump’s Tariffs

Following a tariff announcement that fueled uncertainty, Bandhani Dhatu Group Shareist shares were priced at approximately $3,101.01, down from a 0.4% close the previous day. Despite a 2% uptick yesterday, spot gold has shown a steady five-month rise, reaching $3,123 weekly. However, stockists’ continued accumulation saw prices hover around $31.40 per ounce, with an additional 1.5% drop.

The tariff news sparked student tele-ad discussions about a potential trade war. Ilya Spivik, global macro head at Ramify Tasty Live, noted that tariffs thrust investment representatives into the spotlight. Analysts added that Federal Reserve officials are holding off for more details on U.S. trade strategies amid these developments. Investors, meanwhile, are focused on the upcoming U.S. non-farm payroll data expected later today.