GOLD TUMBLES BELOW $4600 AS RATE FEARS INTENSIFY

Gold prices slipped below $4,600 per ounce, falling over 1% in electronic trading as the metal gave back recent gains despite ongoing geopolitical tensions in the Middle East, where incidents in the Strait of Hormuz and uncertainty surrounding negotiations between the United States and Iran kept market sentiment fragile; however, the downside pressure was largely driven by a hawkish tone from major central banks, with the Federal Reserve maintaining its cautious stance on inflation alongside similar signals from global peers, reducing the appeal of non-yielding assets like gold as higher interest rates push investors toward yield-bearing instruments, while volatility in oil markets and inflation concerns continue to create conflicting forces for bullion, with traders now turning their focus to upcoming PMI releases and US labor market data for clearer direction, as reflected in domestic markets where MCX June gold futures dropped nearly 1% to ₹1,50,204 per 10 grams and silver futures declined over 1.5% to ₹2,47,127 per kg.

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