MCX gold slips to Rs 1,48,858; silver drops Rs 1,144

MCX gold futures for December 2026 delivery slipped Rs 171 to Rs 1,48,858 per 10 grams on Wednesday, October 21, while December silver futures fell Rs 1,144 to Rs 2,10,341 per kg, according to Economic Times Markets. Investors were awaiting the US Federal Reserve’s October 27–28 policy meeting for signals on interest rates.

International bullion prices also edged lower. Spot gold declined 0.1% to $4,118.64 an ounce, while US December gold futures fell 0.1% to $4,137.60. These are reported market snapshots, not live quotes; the MCX figures refer to futures contracts rather than retail jewellery prices.

Traders look for an October pause

The report cited CME’s FedWatch Tool as showing an 84% probability of unchanged US rates at the October meeting and a 90% probability of a December increase. Those figures reflect market expectations, not announced policy decisions.

It also cited a Reuters poll in which nearly all participating economists expected no increase this month, followed by a December hike. The report said the Fed had raised its benchmark overnight rate by 25 basis points in September to a range of 3.75%–4.00%.

Higher interest rates generally make non-interest-bearing gold less attractive relative to assets that offer a yield. The Fed’s guidance therefore remains an important near-term consideration for bullion traders.

Dollar pressure versus longer-term buying

Jateen Trivedi, VP Research Analyst of Commodity and Currency at LKP Securities, identified $4,200 an ounce as a resistance level for gold. He said a stronger Dollar Index, near 101.95, was restraining further gains and expected volatility ahead of the Fed announcement.

A longer-term assessment from NDB Wealth Management projected gold prices of $4,200–$5,000 an ounce over the next one to two years. Its argument was that central bank purchases and strong Asian investor demand were becoming more influential, reducing gold’s dependence on US interest-rate moves.

That range is a forecast, not an assured outcome. The near-term assessment emphasises dollar and policy risks, while the longer-term outlook depends on sustained demand from central banks and Asian investors.