Gold, Silver ETF Crash Up To 12% Amid Weak Trend: SBI, Nippon To ICICI | Why is Gold Price Falling Today?

Gold, Silver ETF: Prices of gold and silver exchange-traded funds (ETFs) such as Nippon India Silver ETF, Nippon India Gold BeEs, Zerodha Gold ETF, HDFC Silver ETF, and Kotak Silver ETF declined sharply by up to 12%, extending losses seen over the past week. The steep fall in these ETFs comes amid a historic single-day decline in the domestic precious metals market, triggered by a surge in crude oil prices and rising geopolitical tensions due to the Iran-US conflict in West Asia.

Gold and silver prices have been declining since the beginning of the Iran-US war on February 28. Gold and silver came under pressure as crude oil prices jumped sharply, driven by airstrikes on energy infrastructure in West Asia and rising fears of global supply disruptions.

Fund Name	Ticker	Mkt Price (₹)	1D Change (₹)	1D Change (%)
Tata Gold Exchange Traded Fund	TATAGOLD	12.89	-1.35	-9.48%
Nippon India ETF Gold BeES	GOLDBEES	109.23	-11.83	-9.77%
Groww Gold ETF	GROWWGOLD	12.92	-1.41	-9.84%
ICICI Prudential Gold ETF	GOLDIETF	112.28	-12.9	-10.31%
Zerodha Gold ETF	GOLDCASE	20.79	-2.24	-9.73%
SBI Gold Exchange Traded Scheme	SETFGOLD	112.27	-12.51	-10.03%
HDFC Gold ETF	HDFCGOLD	112.48	-12.65	-10.11%
UTI Gold Exchange Traded Fund	GOLDBETA	111.7	-11.3	-9.19%
Angel One Gold ETF	AONEGOLD	12.37	-1.33	-9.71%
Axis Gold Exchange Traded Fund	AXISGOLD	108.01	-14.01	-11.48%

Nippon India Gold, Silver ETF Crash

Nippon India Silver ETF crashed 11.44% to Rs 194.65 per unit at 1:18 pm on Monday, March 23. Likewise, Nippon India ETF Gold BeES declined 9.11% to Rs 109.81 per unit at the same time.

ICICI Prudential Silver, Gold ETF Crash

ICICI Prudential Gold ETF was down 8.86% to Rs 112.91 per unit at 1:20 pm on Monday, March 23. Whereas, ICICI Prudential Silver ETF was11.63% lower at Rs 202.7 per unit.

HDFC Gold, Silver ETF Crash

HDFC Gold ETF was down 9.66% to Rs 113.04 per unit at 1:21 pm. Whereas, HDFC Silver ETF fell 12.03% to Rs 193.56 per unit at the same time.

SBI Silver, Gold ETF Crash

SBI Silver ETF was trading 12.08% lower at 197.73 per unit at 1:24 pm on Monday, March 23. Whereas SBI Gold Exchange Trade Scheme-Growth Option was down 9.5% to Rs 112.93 per unit at the same time.

Why Is Gold Price Falling Today?

The sharp fall in gold rate today also coincided with silver price today. Decline in precious metals is likely because of ongoing West Asia crisis. While geopolitical risk typically drives safe-haven demand, but experts highlight that concerns about energy supply disruptions has pushed oil prices higher and reinforced inflationary pressures.

"Geopolitical risk typically drives safe-haven demand, supporting gold in particular. However, the war has heightened concerns about energy supply disruptions, pushing oil prices higher and reinforcing inflation pressures. This has led to increasing expectations that central banks will keep interest rates elevated for longer, strengthening the USD and raising real yields. These factors tend to weigh on precious metals. As a result, even with rising geopolitical tension, prices can pull back as macro factors take over from safe haven demand," explained Ross Maxwell, Global Strategy Operations Lead, VT Markets.