Fed Rate Hold Keeps Metals in Tight Range, Global Prices Tumble

Friday’s trading session in Mumbai reflected the broader impact of the U.S. Federal Reserve’s recent policy decision. With the Fed opting not to alter its benchmark interest rate, both gold and silver contracts opened lower on the Multi‑Commodity Exchange.

The 5 August 2026 gold contract debuted at ₹1,42,929 per 10 grams, slipping from the previous close of ₹1,43,232. By 9:50 a.m., the price had settled at ₹1,42,400, a 0.58 percent dip. Silver’s 4 September 2026 contract opened at ₹2,18,769 per kilogram, against a prior close of ₹2,19,967, and later traded at ₹2,18,910, down 0.48 percent.

Internationally, gold fell 0.56 percent to $4,076 per ounce and silver slipped 0.46 percent to $58 per ounce. Analysts attribute the limited price movement to the Fed’s steady‑hand approach, noting that the policy statement was notably hawkish and three FOMC members voted for a rate hike. However, the absence of a clear timeline for future actions has left investors monitoring the market closely.