Gold prices fell sharply by Rs 800 to Rs 1,48,450 per 10 grams (inclusive of all taxes) on Wednesday, July 8, 2026, as surging crude oil prices and weak global cues weighed on investor sentiment. The previous close was at Rs 1,49,250 per 10 grams, according to data from the bullion market.
Crude Oil Rally Pressures Gold
The decline in gold comes amid a sustained rally in crude oil prices, which have risen over 5% in the past week, breaching the $85 per barrel mark. Higher crude prices typically fuel inflation fears, prompting central banks to tighten monetary policy, which reduces the appeal of non-yielding assets like gold.
Weak global cues from international markets also contributed to the downtrend. Spot gold in international markets traded lower around $1,950 per ounce, down from recent highs, as the US dollar strengthened against major currencies.
Impact on Other Precious Metals
Other precious metals also witnessed a mixed trend. Silver prices declined by Rs 200 to Rs 78,000 per kg, while platinum remained steady at Rs 32,500 per 10 grams. Palladium, however, edged up by Rs 150 to Rs 45,200 per 10 grams.
Market Outlook
Analysts suggest that gold may remain under pressure in the near term if crude prices continue to climb and the dollar stays strong. However, geopolitical uncertainties and potential central bank buying could provide support at lower levels. Investors are advised to watch for cues from the US Federal Reserve's policy stance and upcoming economic data.
