Gold Slumps ₹800 to ₹1.48 Lakh as Crude Oil Surge and Global Uncertainty Weigh

Gold prices extended their losing streak for a third consecutive session on Wednesday, slipping ₹800 to ₹1,48,450 per 10 grams in the national capital as rising crude oil prices, renewed geopolitical tensions in West Asia, and weak global market trends weighed heavily on investor sentiment. The decline reflects growing caution in the bullion market amid increasing uncertainty over inflation and interest rates.

According to market data, 99.9 per cent purity gold fell from Tuesday's closing price of ₹1,49,250 per 10 grams , while silver remained unchanged at ₹2,39,800 per kilogram .

Market experts attributed the decline to a sharp rally in crude oil prices following fresh tensions in the Middle East. Oil prices climbed nearly 7 per cent after US President Donald Trump declared that the interim peace agreement with Iran was "over", reviving fears of a wider regional conflict. The surge in crude prices has intensified concerns that inflation could remain elevated, reducing the appeal of non-yielding assets such as gold.

Higher oil prices also strengthened the US dollar and pushed US Treasury bond yields higher as investors anticipated that persistent inflation could force the US Federal Reserve to keep interest rates elevated for a longer period. Since gold does not offer interest income, higher bond yields and a stronger dollar generally make the precious metal less attractive to investors.

Internationally, spot gold declined 1.2 per cent to USD 4,056.24 per ounce , while spot silver slipped to USD 58.61 per ounce , mirroring the weakness seen in domestic bullion markets.

Analysts also noted that investors were awaiting the release of the minutes of the US Federal Reserve's June 16-17 policy meeting , hoping for fresh indications on the future path of interest rates under Federal Reserve Chair Kevin Warsh . The outcome is expected to influence global commodity markets, including precious metals, in the coming days.

With geopolitical uncertainty, inflation concerns and monetary policy expectations dominating global markets, bullion prices are likely to remain volatile in the near term.