American currency Dollar and Gold ingot combinations. Close up for dollar and gold ingot
| Photo Credit:
DoganKutukcu
Gold prices fell by Rs 1,904 on Friday to Rs 158,399 per 10 grams against Rs 160,303 on Thursday due to a weak trend in the global markets.
The yellow metal prices have retreated for a second consecutive week, shedding nearly 1.50 per cent in the international markets to trade below $5,100 an ounce level as the dollar index jumped above 100 points.
The dollar index surged against six major foreign currencies, including the Euro, Japanese Yen, British Pound, Canadian Dollar, Swedish Krona and Swiss Franc. Amid the growing global turmoil and ragging war in West Asia pushing up crude oil prices, investors are increasingly betting on Greenback than gold.
Similarly, silver was down at Rs 260,488 per kg against Rs 268,301, according to the Indian Bullion and Jewellers Association of India.
On MCX, gold for April delivery was down by Rs 116 to Rs 160,155 per 10 grams, while the June contract dipped by Rs 286 to Rs 164,501 on Friday.
Soaring crude oil
Jateen Trivedi, VP Research Analyst – Commodity and Currency, LKP Securities said gold traded weak on the fear of rising crude oil prices pushing up inflation projections. A higher inflation could delay interest rate cuts by the Federal Reserve, which is limiting bullish momentum in bullion, he said.
With the Fed’s policy meeting scheduled next week, market participants are likely to stay cautious as the central bank’s stance on inflation and rate cuts will be a key trigger for gold, he said
Aamir Makda, Commodity & Currency Analyst, Choice Broking said the primary catalysts for this decline in gold prices was strengthening dollar — bolstered by rising oil prices and geopolitical concerns in West Asia. This apart, the US Treasury yields surged to 4.27 per cent also exerted significant pressure on the precious metal, he added.
The near-term outlook for gold in India remains moderately bearish and traders are encouraged to utilize a sell-on-rise strategy for upcoming sessions, he said.
Resilient US economy
Kaynat Chainwala, AVP Commodity Research, Kotak Securities, said the dollar index climbed to a three-month high of 99.8, supported by haven demand amid escalating tensions in West Asia.
Resilient US economic data further bolstered the dollar, with weekly jobless claims falling to 2.13 lakh and housing starts rising to an 11-month high, although building permits showed some softness, she said.
According to the CME Group FedWatch tool, Fed funds futures now indicate that markets have largely delayed expectations for monetary easing, pricing in just one rate cut near the end of the year, most likely in December, she said.
Published on March 13, 2026
