Gold and Silver Fall as Traders Bet on a US Interest Rate Hike
Gold and silver prices dropped in India on Thursday, 12 November 2026, as a stronger US dollar and bets on higher US interest rates weighed on precious metals.
Rates today (IBJA, before GST and making charges)
- 24-carat gold: Rs 1,38,294 per 10 grams, down Rs 2,511 (about 1.8%)
- 22-carat gold: Rs 1,26,677 per 10 grams, down Rs 2,300
- Silver: Rs 1,81,999 per kg, down Rs 4,496 (about 2.4%)
On the MCX, December gold futures were down about 1.15% at Rs 1,38,114 per 10 grams, and silver was down about 1.6% at Rs 1,81,592 per kg, according to Kotak Neo.
Why gold fell
- Interest rate bets. Reports said traders expect the US central bank, the Federal Reserve, to raise interest rates at its meeting on 8 and 9 December. One report said the CME FedWatch tool showed about a 90% chance of a 0.25 percentage point rise. Gold pays no interest, so higher rates make it less attractive.
- Stronger dollar. The US dollar index rose to its highest level in about 19 months. Gold is priced in dollars, so a stronger dollar makes it costlier for buyers in other currencies.
- US inflation data. A report said stronger-than-expected US inflation figures and comments from Fed officials added to rate-hike expectations.
In the global market, gold fell below $4,000 an ounce and was trading around $3,950 to $3,960, its lowest in more than a week.
What it means if you want to buy gold
- Prices change every day, so check the live rate before you buy.
- Jewellers add GST and making charges on top of these rates.
- Ask for a BIS hallmark and a proper bill.
- Do not put all your savings in gold.
What to watch next
The US Fed meeting on 8 and 9 December, US inflation data and the dollar. Our live gold rate and charts are on Rupee Radar.
This article is for general information and is not investment advice.
Sources: 5paisa gold rate (12 November 2026), Yahoo Finance gold report (12 November 2026), Kotak Neo market wrap (12 November 2026).