Sharp Rise in Gold and Silver Prices

While gold and silver prices rose sharply on the Multi Commodity Exchange (MCX), Gold and Silver ETFs witnessed heavy selling pressure. Major ETFs from Tata, Nippon India, HDFC, ICICI Prudential and others closed in the red with losses of up to 4%.

Silver ETFs like HDFC Silver ETF fell 4.05%, Nippon India Silver ETF 3.98%, and Tata Silver ETF 3.90%. Gold ETFs also declined, with Tata Gold ETF down 2.40% and Nippon India Gold BeES down 2.35%.

On MCX, silver futures for July 3 expiry jumped nearly ₹3,000 to trade around ₹2.16 lakh, while gold futures for August 5 expiry were trading near ₹1.42 lakh.

The fall in ETFs is attributed to a strong US dollar and expectations of higher US Fed interest rates, which reduced the appeal of precious metals.