Gold and silver prices attempted a recovery in Thursday’s trade, June 25, after falling to multi-month lows in the previous session. A retreat in the US dollar index after US inflation data came largely in line with expectations eased some concerns about imminent Federal Reserve rate hikes, bringing much-needed optimism back to precious metals.
Comex gold futures jumped $44 per troy ounce to reclaim the $4,000 mark, touching an intraday high of $4,060. Although prices recovered, they have recouped less than one-third of the $169 decline recorded in the previous session, which dragged the yellow metal to a seven-month low.
The metal is also on track to post a fourth consecutive monthly decline, having lost 12% so far in June. If sustained, this would mark its biggest monthly drop since March.
The silver futures gained $1 per troy ounce but continued to trade below the $60 mark.
During Wednesday’s session, the white metal plunged another $4 per ounce after losing $3 in the previous session, pushing prices to their lowest level since November 2025 and widening its June losses to 23%.
Meanwhile, the US Personal Consumption Expenditures (PCE) Price Index, the Federal Reserve’s preferred inflation gauge, rose 4.1% in the 12 months through May. This marked the first reading above 4% since April 2023 and was largely driven by higher energy prices linked to the Iran war.
The US-Israel conflict with Iran pushed up global energy prices and disrupted supply chains as Tehran threatened traffic through the critical Strait of Hormuz. US President Donald Trump dismissed the recent spike in inflation, saying prices would fall “like a rock” once the conflict ends.
Washington and Tehran have signed a preliminary agreement aimed at ending the conflict, but markets remain cautious. Analysts warn that it could take months for fuel prices to return to pre-war levels, according to an AP report.
The US dollar erased earlier gains and turned lower following the inflation data, making dollar-denominated bullion cheaper for overseas buyers.
Markets are currently pricing in an 80% probability of a rate hike in December, compared with 85% before the release of the PCE data and 61% before last week’s Federal Reserve policy statement, according to CME FedWatch data.
Oil prices fell to their lowest level since the start of the Iran War as more oil tankers were expected to move through the Strait of Hormuz. Trump also said Iran had informed Washington that no transit tolls would be imposed.
MCX gold reclaims ₹1.43 lakh; silver jumps over ₹10,000
Tracking the rebound in international markets, the near-month gold futures contract on MCX gained ₹1,700 per 10 grams to touch an intraday high of ₹1,43,491. Silver prices also regained strength, rising ₹10,284 per kilogram and recovering a significant portion of Tuesday’s losses.
However, silver’s month-to-date losses still stand at 17.6%, wiping out all the gains recorded in May. From its record high of ₹4,57,328 per kg, the metal has now ₹2.30 lakh”>fallen by nearly ₹2.30 lakh, or about 50%. Gold is down 8% so far in June but remains 5.6% higher on a year-to-date basis.
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