Archive · 4 Sep 2026
Gold and Silver Swing as Dollar, Yields Shift
Gold and silver prices moved up on Thursday but fell a little on Friday morning.
In India, gold and silver are traded on the Multi Commodity Exchange, or MCX.
Prices often change when the US dollar and government bond yields move.
A stronger dollar and higher bond yields can make gold less attractive.
Traders were also taking some profits after prices had risen.
Investors are waiting for a US jobs report to help them guess what the Federal Reserve may do with interest rates.
Expectations of a possible rate hike have added pressure to precious metals.
Tensions involving the United States and Iran, inflation worries, and government debt are also affecting the market.
MCX gold and silver rose on Thursday, 3 September, before reversing lower in early trading on Friday, 4 September.
On Thursday, MCX October gold gained 0.75% to ₹1,53,542 per 10 grams, while December silver rose 0.88% to ₹2,38,340 per kilogram.
On Friday around 9:10 AM, MCX October gold fell 0.47% to ₹1,55,041 per 10 grams, and December silver declined 0.48% to ₹2,41,189 per kilogram.
The US dollar and 10-year bond yields eased on Thursday but rose on Friday, influencing gold’s appeal and encouraging profit booking.
Investors focused on US nonfarm payrolls data for clues about possible Federal Reserve policy and interest-rate decisions.
- Who
- Gold and silver investors, the Multi Commodity Exchange of India Limited, the US Federal Reserve, and market analysts including Ravi Singh, Manoj Kumar Jain, and Jateen Trivedi.
- What
- Gold and silver prices first rose on MCX and then declined in early Friday trading as the dollar and bond yields changed and traders awaited US employment data.
- When
- Thursday, 3 September, and Friday, 4 September; the US nonfarm payrolls report was due Friday, 4 September.
- Where
- The price movements were reported on India’s Multi Commodity Exchange, with related movements in US gold futures, the US dollar, and US Treasury yields.
- Why
- Prices were supported by lower dollar and bond yields on Thursday but pressured by a stronger dollar, higher yields, profit booking, and expectations of a possible Federal Reserve rate hike on Friday.
Factors Supporting Gold
Factors Pressuring Gold
Currency and bond movements
Factors Supporting Gold
A weaker US dollar and easing 10-year bond yields on Thursday increased gold’s appeal as a safe-haven asset.
Factors Pressuring Gold
The dollar and 10-year bond yields moved higher on Friday, weighing on gold and contributing to the decline.
Federal Reserve expectations
Factors Supporting Gold
Softer US inflation signals and weaker private payroll growth were described as reducing expectations of aggressive Federal Reserve tightening.
Factors Pressuring Gold
Markets were pricing in about a 50% chance of a Federal Reserve rate hike later in September, while higher-rate expectations supported the dollar and long-dated yields.
Geopolitical and inflation risks
Factors Supporting Gold
The US-Iran conflict, inflation concerns, and uncertainty over energy markets can support demand for safe-haven assets.
Factors Pressuring Gold
Comments that the Iran strikes could be short-lived reduced fears of a prolonged energy shock, easing some inflation concerns and limiting gold’s support.
- Thursday MCX gold
- October futures rose 0.75% to ₹1,53,542 per 10 grams around 9:15 AM.
- Thursday MCX silver
- December contracts rose 0.88% to ₹2,38,340 per kilogram around 9:15 AM.
- Friday MCX gold
- October futures fell 0.47% to ₹1,55,041 per 10 grams around 9:10 AM.
- Friday MCX silver
- December contracts fell 0.48% to ₹2,41,189 per kilogram around 9:10 AM.
- US gold futures
- December futures rose 1% to $4,473.21 per troy ounce on Thursday and fell 0.30% to $4,513.76 on Friday.
- Market indicators
- The dollar index rose to 99.02 from 98.91, while the 10-year bond yield increased to 4.77% on Friday.
- Analysts’ levels
- Ravi Singh identified ₹1,50,000 as a key gold base and targets of ₹1,58,000 and ₹1,60,000; other analysts cited additional support and resistance levels.
