Gold and silver prices witnessed a sharp decline on the Multi Commodity Exchange (MCX) on June 1, 2026, as global cues turned bearish. The precious metals faced selling pressure due to a stronger US dollar and rising bond yields, which dampened investor sentiment. Analysts suggest that the correction offers a buying opportunity, but caution is advised as key support levels are being tested.
Gold Rates Today
On MCX, gold futures for August 2026 delivery opened at Rs 72,450 per 10 grams and fell to an intraday low of Rs 71,980, down nearly 0.6% from the previous close. The decline was in line with international trends, where spot gold slipped below $2,350 per ounce. The yellow metal has been under pressure due to expectations of a hawkish stance by the US Federal Reserve.
Silver Rates Today
Silver futures for July 2026 delivery dropped more sharply, falling by 1.2% to Rs 89,200 per kilogram from the previous close of Rs 90,300. The white metal was dragged down by industrial demand concerns and a stronger dollar. Silver has been more volatile than gold in recent sessions.
Reasons Behind the Fall
- Stronger US Dollar: The dollar index rose to a two-week high, making dollar-denominated commodities more expensive for holders of other currencies.
- Rising Bond Yields: US Treasury yields climbed, reducing the appeal of non-yielding assets like gold and silver.
- Hawkish Fed Comments: Comments from Fed officials hinting at further rate hikes weighed on precious metals.
- Profit Booking: After a recent rally, traders booked profits, adding to the selling pressure.
Key Levels to Watch
For gold, the immediate support is at Rs 71,800, followed by Rs 71,500. Resistance is placed at Rs 72,800 and Rs 73,200. For silver, support is at Rs 88,800 and Rs 88,200, while resistance is at Rs 90,000 and Rs 91,000. A break below these levels could trigger further downside.
City-Wise Gold Rates (June 1, 2026)
- Mumbai: Rs 72,100 per 10 grams (22K)
- Delhi: Rs 72,250 per 10 grams (22K)
- Chennai: Rs 72,300 per 10 grams (22K)
- Kolkata: Rs 72,150 per 10 grams (22K)
- Bengaluru: Rs 72,200 per 10 grams (22K)
City-Wise Silver Rates (June 1, 2026)
- Mumbai: Rs 89,500 per kg
- Delhi: Rs 89,700 per kg
- Chennai: Rs 89,600 per kg
- Kolkata: Rs 89,400 per kg
- Bengaluru: Rs 89,550 per kg
Should You Buy Now?
Experts suggest that the current dip could be a buying opportunity for long-term investors. However, they advise waiting for prices to stabilize near support levels. Short-term traders should be cautious and avoid aggressive positions until a clear trend emerges. The overall outlook remains positive due to geopolitical tensions and central bank buying, but the short-term trend is bearish.
