By Admin 
On Monday, May 12, 2025 on the Multi Commodity Exchange (MCX), there was a huge decline in gold prices. The price of gold futures for June futures fell 3,930 i.e. 4 percent to 92,588 per 10 grams. Gold reached a low of 92,389 during the trading. Earlier, its closed price on Friday was Rs 96,518 per 10 grams.
Why such a big decline came in gold
The major reason behind this decline is to reduce global stress. There has been an agreement to provide relief in commercial tariffs between the US and China and the tendency to take risks among investors after the announcement of ceasefire between India and Pakistan has increased. This has reduced the demand for safe investment options like gold.
Dollar strength and global peace
In fact, the dollar index went above $ 101.50 with the declaration of temporary relief by the US-China in mutual tariff. At the same time, reports of the tension between Russia-Ukraine and India and Pakistan were reduced to profit booking.
Silver prices also fall
Along with gold, silver prices also recorded a steep decline. Silver futures on MCX fell by Rs 2,190, or 2.26 per cent, to Rs 94,539 per kg, while the previous closed price was Rs 96,729.
What will happen next?
Experts believe that now gold prices may face resistance within the range of Rs 94,000 to 95,000. If the global risk century remains stable, then gold can also fall up to Rs 90,000. In such a situation, investors are being advised to be cautious about investment in gold and keep an eye on market activities.
Disclaimer: (Information provided here is being given only for information. It is necessary to tell here that the investment market is subject to risks. Always consult expert before investing as an investor. Never is advised to invest money from Abplive.com.
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