Gold and Silver Prices Slide as Hawkish Fed Signals and Easing Safe-Haven Demand Weigh on Bullion

Gold and silver prices fell sharply in global markets on Friday after a series of hawkish comments from US Federal Reserve officials dampened expectations of a December rate cut. The shift in sentiment pushed investors away from non-yielding assets like bullion. The resolution of the US government shutdown further eased economic uncertainty, reducing the safe-haven demand that had recently supported gold and silver.

In India, however, domestic prices remained relatively steady on Saturday, with gold holding near Rs 1.27 lakh per 10 grams and silver ranging around Rs 1.73–1.75 lakh per kilogram. Wedding-season demand and local premiums helped support gold despite a stronger US dollar, while silver saw a slight dip following festive-season highs. Analysts noted that both metals are currently in a consolidation phase after significant gains earlier in the year.

Market experts warn that bullion may stay under pressure unless global uncertainty rises or the Fed signals a softer policy outlook. A stronger dollar, elevated treasury yields and reduced demand for safe-haven assets are likely to influence price movements in the near term. Upcoming US economic indicators, along with shifts in industrial demand for silver, will play a key role in determining the next price direction.