Gold and Silver ETFs Plunge Over 4 Percent Amid Global Sell-Off
· Business · LiveMint, Zee News
Gold and silver exchange-traded funds plunged over 4% on Monday as heavy selling pressure swept domestic commodity and financial markets. Silver ETFs recorded steeper losses of up to 4%, while gold ETFs dropped more than 2%, led by declines in funds managed by SBI, Nippon India, and Tata. The domestic sell-off mirrored a sharp correction in global bullion prices, where spot gold fell 2.1% to $4,198.10 an ounce and spot silver tumbled 3.4% to $62.08 an ounce. MCX silver futures for September 2026 delivery dropped ₹6,661 to ₹2,28,035 per kg, while October 2026 gold futures declined ₹3,214 to ₹1,47,667 per 10 grams. The correction was driven by rising US Treasury yields, a firm dollar, and surging crude oil prices following President Donald Trump's rejection of an Iranian proposal to reopen the Strait of Hormuz. Traders are currently pricing in a 70.3% probability of a Federal Reserve rate hike in October amid heightened inflation concerns.
Why it matters
Retail investors holding precious metal ETFs face sharp portfolio corrections as global bullion markets react to rising energy prices and potential US interest rate hikes.
Read the original report — LiveMint
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