Global prices of gold and silver weakened again on Friday after sharp losses in technology shares and a stronger US dollar hit demand for precious metals. The slide wiped out most of the gains these metals had made earlier this week in a brief recovery.
Gold, which investors often buy as a “safe haven” when markets are unstable, was down again. Spot gold — the price for buying and selling today — fell about 0.7 percent to $4,735.99 an ounce (at USD 1= ₹90.40). Futures prices — contracts to buy gold later — for April delivery were also lower. Silver, which is used both as an investment and in industry, dropped more sharply, falling over 3 percent to $68.97 an ounce after an even steeper fall the day before. These levels are some of the lowest seen in recent weeks.
The wider stock market also weakened, with the global equities index slipping more than 1 percent as investors fretted over the high cost of artificial intelligence-related investment. At the same time, the US dollar strengthened to a two-week high against other major currencies, making dollar-priced metals more expensive for buyers using other currencies.
Data from the United States showed a notable drop in job openings — vacancies advertised by employers — suggesting the labour market was cooling. This kind of weakness can raise expectations that the US Federal Reserve (the central bank) might lower interest rates later this year. Lower rates usually make gold more attractive because it doesn’t pay interest, but current market swings have overwhelmed that effect.
On the geopolitical front, easing tensions after talks between the United States and Iran also reduced safe-haven buying. When political risks ease, some investors move money out of metals such as gold and silver into stocks or bonds.
Among other metals, platinum prices also fell, while palladium traded slightly higher. The recent volatility in precious metals shows how quickly markets can shift as economic data, currency moves and global events influence investor behaviour.
Spot price: the current price to buy or sell an asset right now.
Futures price: price agreed now for delivery later.
Safe haven: an asset that investors buy to protect wealth when markets are uncertain.
Firmer dollar: a stronger US dollar, which can lower demand for dollar-priced commodities like gold and silver.
