Gold Prices Plunge as Strong Dollar Index Reaches Highest Level Since May 2025

On 19 June 2026, the price of 24K gold at ₹147,000 per 10 grams, reflecting a loss of ₹2,390 compared to its previous close. Meanwhile, 22K gold is at ₹134,750 per 10 grams. Gold prices in India are largely influenced by international spot gold rates, US dollar fluctuations, and import duties on Gold among other things. Gold prices in India continue to remain higher than in Dubai. On 19 June 2026 the price of 24K gold in India is at ₹147,000 per 10 grams, while in Dubai it is ₹132,361, reflecting a difference of ₹14,640 or 11.06%. Similarly, 22K and 18K gold prices in India were also about 11.06% costlier compared to the price of gold in Dubai , not accounting for fees, duties, and taxes. Gold prices are trending down as the yellow metal extended sharp declines as the dollar index reached its highest level since May 2025. The safe-haven demand for greenback increased as the US Federal Reserve delivered hawkish commentary. A strong dollar makes precious metals like gold more expensive for overseas currency holders, thereby denting demand. The new US Fed chair Kevin Warsh’s commentary has reinforced market expectations of tighter monetary policy as nine of 19 US Federal Reserve officials forecast at least one rate hike for later in the year to battle inflationary pressures ALSO READ Gold, silver prices plunge: Hawkish Fed signals and rising dollar shock precious metals Market sentiment remains cautious as US Vice President JD Vance has postponed his visit to Switzerland, he was scheduled to visit the country on Friday. Analysts expect gold prices to trade with the negative bias as the dollar climbs to record high levels, dampening the appeal of non-interest yielding assets. Markets would watch out for commentary from the Fed for further cues on gold prices. “The recent volatility in gold and silver markets can be attributed to a mix of geopolitical risks and technical trading patterns, with investors balancing these factors against expectations of forthcoming economic data,” said Gaurav Garg, research analyst at Lemonn markets desk. “MCX Gold August is likely to drop to Rs. 146,200/10g intraday today,” said Jigar Trivedi, Senior Research Analyst at Indusind Securities. Retail investors are advised to track not just domestic rates but also international trends before making buying decisions. ALSO READ Gold, silver prices plunge: Hawkish Fed signals and rising dollar shock precious metals