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Gold & Silver Rates Today LIVE: India Gold Rates Crash Rs 41,400! MCX Gold & Silver Recovers Some Losses

Gold rates and silver rates in India continued to fall further due to a weak trend in the global bullion market on June 19th as hawkish remarks of US Federal Reserve outweighed the positive development in the US-Iran peace agreement. MCX gold price dropped by more than 2% to struggle below Rs 1.46 lakh per 10 grams, while MCX silver plunged by over 3.5% to trade around Rs 2.29 lakh per 10 grams.

Spot gold dropped by 1% to trade below $4,180 and spot silver plunged 2% to trade below $65 per ounce.

As per Trading Economics, the Fed left interest rates unchanged as widely expected but indicated increasing support for interest rate hikes this year. Higher borrowing costs tend to reduce the appeal of non-yielding assets such as gold by increasing their opportunity cost. Meanwhile, investors welcomed signs of improving shipping conditions through the Strait of Hormuz after the US-Iran interim peace deal came into effect, ending a prolonged conflict that triggered the largest supply disruption on record.

Still, traders remained cautious, with expectations that it could take months for shipping activity and energy flows to recover to levels seen before the conflict began in late February, it added.

Meanwhile, US WTI Crude Oil slipped marginally to trade around $76 per barrel and Brent Crude declined by nearly 0.5% to trade around $79.50 per barrel. US dollar extended its gains to over 100.82.

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