Gold Slips Towards ₹1.42 Lakh per 10 Grams as Rising Crude Oil Prices and Interest Rate Concerns Weigh on Precious Metals

Gold and silver prices remained under pressure on Friday, October 23, 2026, as investors continued to sell precious metals amid rising crude oil prices, uncertainty over global interest rates and weakness across international financial markets. Silver futures on the Multi Commodity Exchange (MCX) slipped below the psychologically important ₹2 lakh per kilogram mark, while gold futures also extended their decline.

The weakness followed sharp losses in the previous trading session, reflecting concerns that persistently elevated energy prices could fuel inflation and influence the monetary policy decisions of major central banks.

In the domestic market, the MCX December gold futures contract was trading near ₹1,42,307 per 10 grams during the reported session. Silver futures were quoted around ₹1,96,031 per kg.

Internationally, gold futures on the COMEX were trading near $4,032.50 per ounce, while silver futures were hovering around $54.04 per ounce.

The latest decline highlights the changing dynamics in the precious metals market, where traditional safe-haven demand is being weighed against concerns about inflation, interest rates and the broader economic outlook.

Gold Prices Today: MCX Gold Opens Lower

Gold futures began Friday's session on a weak note, extending the selling pressure seen in the previous session.

On the MCX, the benchmark December gold contract opened ₹1,251 lower at ₹1,42,058 per 10 grams, compared with its previous close of ₹1,43,309. During the reported trading period, the contract was quoted at ₹1,42,307, down ₹1,002 from the previous close.

The decline indicates that investors remain cautious about taking fresh positions in gold amid uncertainty over the direction of global interest rates and commodity prices.

Gold had touched a high of ₹1,80,779 per 10 grams earlier in 2026, according to the figures cited in the report. The subsequent correction has brought prices substantially below that level.

Although gold is traditionally considered a store of value during periods of uncertainty, its performance can be affected by changes in bond yields, the US dollar, inflation expectations and expectations surrounding central bank policy.

When investors anticipate that interest rates may remain elevated for longer, non-interest-bearing assets such as gold can face pressure because competing investments may offer more attractive yields.

Silver Price Today: Futures Fall Below ₹2 Lakh per Kg

Silver experienced another significant decline, with MCX December futures opening below the previous session's closing level.

The contract opened ₹3,012 lower at ₹1,96,587 per kg, against its previous close of ₹1,99,599. At the time of the reported update, silver was trading at ₹1,96,031, representing a decline of ₹3,568.

The fall below ₹2 lakh per kg is an important development from a market psychology perspective. The breach of a widely watched price level can encourage some traders to reduce positions, although it does not by itself establish how far prices may decline.

Silver had reached a high of ₹4,20,048 per kg earlier in 2026, according to the report. The metal has since experienced a substantial correction from that peak.

Unlike gold, silver has significant industrial applications in areas such as electronics, solar energy and other manufacturing activities. As a result, its price can be influenced by both investment demand and expectations for industrial consumption.

When investor sentiment weakens and concerns about economic growth increase, silver can face pressure from both sides of the market.

Global Gold and Silver Prices Remain Under Pressure

Precious metals also traded lower in international markets on Friday.

On COMEX, gold opened at $4,042.20 per ounce, compared with its previous closing price of $4,060.40. During the reported session, it was trading at $4,032.50, down $27.90 from the previous close.

Gold had reached a reported high of $5,586.20 per ounce earlier in 2026.

COMEX silver futures opened at $54.69 per ounce, against the previous close of $55. The contract subsequently declined to around $54.04, down $0.96.

Silver had touched a reported high of $121.79 per ounce earlier this year.

The simultaneous weakness in domestic and international prices indicates that the current pressure is not limited to the Indian market. Global commodity trends, interest rate expectations and investor positioning are playing an important role in determining near-term price movements.

For Indian investors, international prices are only one part of the equation. The rupee-dollar exchange rate, domestic demand, import-related costs and local market conditions can also influence gold and silver prices in India.

Why Are Gold and Silver Prices Falling?

1. Rising crude oil prices

Higher crude oil prices have become a major concern for global financial markets. If energy prices remain elevated, transportation and production costs could rise, increasing inflationary pressure across economies.

This may complicate the decisions facing central banks as they balance inflation control with economic growth.

2. Expectations of higher interest rates for longer

When inflation risks increase, investors may expect central banks to maintain restrictive monetary policies for an extended period. Higher interest rates can weigh on precious metals because gold and silver do not generate regular interest income.

However, the relationship between interest rates and precious metals is not automatic. Actual price movements also depend on currency trends, inflation-adjusted yields, investor demand and geopolitical developments.

3. Selling and position reduction

The latest decline also reflects changes in trader positioning. Some investors may be booking profits, reducing exposure or closing existing positions in response to falling prices and changing market expectations.

4. Global market uncertainty

Precious metals often attract safe-haven demand during periods of uncertainty. Nevertheless, that demand may not always be strong enough to offset the effects of rising yields, a stronger US dollar or forced selling across financial markets.

The direction of gold and silver will therefore depend on how these competing forces develop over the coming sessions.

Gold Technical Outlook: Support and Resistance Levels

According to Ajay Kedia, director of Kedia Advisory, gold was witnessing fresh selling pressure based on the technical indicators cited in the report.

Open interest increased 0.29% to 16,645 contracts while prices declined by ₹2,770. This combination was interpreted as an indication that fresh positions were being created during the fall.

The technical levels highlighted in the report were:

• First support: ₹1,42,520

• Second support: ₹1,41,740

• First resistance: ₹1,44,610

• Second resistance: ₹1,45,910

Gold was quoted at ₹1,42,307 in the reported update, already below the first support level identified by the analyst.

If prices remain below this level, selling pressure could persist, with ₹1,41,740 emerging as the next downside level to monitor. A recovery above ₹1,44,610 could improve near-term sentiment and bring ₹1,45,910 into focus.

These levels are technical reference points rather than guaranteed price targets. Traders should monitor price action and risk exposure carefully, particularly during periods of elevated volatility.

Silver Technical Outlook: Can Prices Recover Above ₹2 Lakh?

Silver was showing signs of long unwinding, according to Kedia. Open interest declined 4.27% to 19,038 contracts as prices fell by ₹9,569.

A decline in both price and open interest is commonly interpreted as long unwinding, suggesting that some existing bullish positions are being closed. However, open-interest data should be considered alongside trading volume, price movements and other market indicators.

The technical levels cited in the report were:

• First support: ₹1,96,940

• Second support: ₹1,94,290

• First resistance: ₹2,04,130

• Second resistance: ₹2,08,660

At the time of the reported update, silver was trading around ₹1,96,031, below the first stated support level.

If silver remains under pressure, ₹1,94,290 could become an important level to watch. On the upside, a sustained recovery above ₹2,04,130 may improve sentiment and bring ₹2,08,660 into focus.

A return above ₹2 lakh per kg could also help improve short-term market psychology, but traders would need to assess whether such a move is supported by sustained buying rather than a brief technical rebound.

What Should Gold and Silver Investors Watch Next?

Investors should track several factors that could influence precious metals in the coming sessions.

Crude oil prices: A sustained increase in crude oil could intensify inflation concerns, while a meaningful decline may ease pressure on interest rate expectations.

US dollar and bond yields: Movements in the dollar and US Treasury yields can influence international gold and silver prices. Changes in inflation-adjusted yields are particularly relevant for gold.

Central bank signals: Monetary policy announcements and commentary from major central banks may affect expectations about future interest rates.

Geopolitical developments: Changes in geopolitical risks can influence safe-haven demand, although the market reaction may vary depending on the broader financial environment.

Domestic currency movements: Changes in the rupee-dollar exchange rate can affect Indian gold and silver prices even when international prices remain relatively stable.

Technical levels: Traders should monitor the support and resistance levels identified by analysts while recognising that these levels can break during sharp market movements.

Investors buying jewellery or physical precious metals should also account for local premiums, taxes, making charges where applicable, and the difference between purchase and resale prices.

Market Outlook

The near-term outlook for gold and silver remains cautious as both metals face selling pressure amid elevated crude oil prices and uncertainty over global interest rates. Silver's fall below ₹2 lakh per kg has weakened short-term sentiment, while gold is trading below the first support level cited in the technical analysis.

For gold, the ₹1,41,740 area is an important downside reference, while a recovery above ₹1,44,610 could help improve the near-term technical picture. For silver, ₹1,94,290 is the next support level highlighted in the report, while ₹2,04,130 is an important resistance level to monitor.

A sustained fall in crude oil prices, easing bond yields or renewed safe-haven demand could help precious metals stabilise. Conversely, persistent inflation concerns and expectations of higher interest rates for longer could extend the correction.