Gold prices tumbled today, driven by global cues and fears of US Fed rate hikes. Indian households aggressively sold old gold, fearing further declines.
| Purity | Per Gram | Per 10g | Change |
|---|---|---|---|
| 24K Gold | ₹14,193INR | ₹1,41,930 | ↓ ₹202 |
| 22K Gold | ₹13,010 | ₹1,30,100 | ↓ ₹185 |
| 18K Gold | ₹10,645 | ₹1,06,450 | — |
Source: GoldMeter.in • Historical data for reference only
Gold prices witnessed a significant downturn across global and domestic markets on June 29, 2026, marking a challenging day for the yellow metal. Both Comex and MCX futures saw declines, with MCX Gold trading near ₹1.44 Lakh after a substantial correction from its peak, which has reportedly seen prices drop by nearly ₹50,000. This sharp fall was further reflected in the retail rates for 22K and 24K gold across major Indian cities like Delhi, Mumbai, Chennai, and Kolkata. Silver also crashed significantly, losing ₹8,000 per kilogram.
The primary drivers behind gold's stumble were weak global cues and a stronger US dollar. Heightened Middle East tensions surprisingly fueled fears of potential US Federal Reserve rate hikes, making non-yielding assets like gold less attractive to international investors. This global sentiment directly impacted domestic markets, leading to faltering spot demand for physical gold in India.
The price correction had a profound effect on Indian households, who reacted swiftly to the falling prices. Reports indicate that Indian households sold a remarkable 50 tonnes of old gold in the April-June quarter, driven by fears of a continued price crash. Profit booking jumped by 43% during this period, as many rushed to liquidate their existing gold holdings, perceiving the current correction as an opportune moment to secure gains or cut potential losses. This widespread selling of old jewellery underscores the prevailing anxiety among consumers about gold's future trajectory.
For Indian investors and jewelry shoppers, today's developments raise critical questions about gold's immediate future. While the market is currently dominated by selling pressure and a cautious outlook, the extent of further declines remains a key concern. Those looking to buy may find current prices attractive after the significant correction, but monitoring global economic indicators and geopolitical developments, particularly concerning the US Fed's monetary policy, will be crucial. Existing holders might consider the prevailing sentiment of "will prices fall further?" and weigh their options carefully, keeping an eye on the key support levels that analysts are watching.