Gold, Silver and Precious Metals Daily — 2026-09-02
Gold prices have erased nearly all 2026 gains as hawkish Fed signals push September rate-hike odds to 70%, driving spot gold below $4,400. Silver tumbled alongside gold amid rising Treasury yields, while platinum remained the top performer last week due to supply deficits. In India, bullion markets face a Rs 6,000 weekly plunge, with local analysts advising caution ahead of upcoming US economic data.
Gold, Silver and Precious Metals Daily — 2026-09-02
Top developments
Gold Erases 2026 Gains on 70% Fed Hike Odds
Spot gold has suffered a three-day slide that wiped out almost all of its year-to-date gains, driven by climbing expectations for a Federal Reserve interest rate hike. Market pricing now reflects a 70% probability of a hike, a sharp reversal from earlier soft data prints that had lowered odds to 31%. This shift has pressured bullion significantly, erasing the momentum from August's rally where gold had briefly touched $4,700.
Silver Tumbles Below Key Levels Amid Bond Yield Surge
Silver prices fell sharply on Tuesday, September 1, and continued to slide into Wednesday, September 2, as a firmer US dollar and rising Treasury yields overpowered safe-haven demand. Analysts note that doubts are growing regarding the scale of end-2026 industrial demand for precious metals, contributing to the sell-off. The "bond tailspin" has created a headwind for non-yielding assets like silver, which is now trading at multi-week lows.
Platinum Outperforms on Structural Supply Deficit
Despite the broader precious metals sell-off, platinum was the best-performing metal last week, rising 7.75%. The surge was fueled by a widening structural supply deficit and critically low above-ground inventories, compounded by mining constraints in South Africa. This tight physical backdrop has provided a floor for platinum prices even as gold and silver retreated from their highs.
Indian Bullion Faces Rs 6,000 Weekly Plunge
In India, gold prices have faced fresh volatility with a weekly plunge of approximately Rs 6,000 per 10 grams. Local markets are reacting to global cues, specifically the hawkish stance from the US Federal Reserve, which has strengthened the dollar against the rupee. Analysts at Mirae Asset ShareKhan highlight that the domestic bullion market is now in a period of heightened attention to monetary policy and US jobs data.
Local view
China: Chinese financial media reports that the People's Bank of China (PBOC) has increased its gold reserves for the 21st consecutive month, adding 640,000 ounces in July to reach 76.08 million ounces. Despite this steady central bank buying, Shanghai premium dynamics are under pressure as global spot prices retreat below $4,400.
India: Local Hindi-language outlets report significant drops in Delhi's bullion market, with gold falling by Rs 2,700 in a single day to Rs 1.58 lakh per 10 grams. Retailers note that the five-day decline of Rs 8,900 has dampened festive demand ahead of Raksha Bandhan, with consumers adopting a wait-and-watch approach.
Context & numbers
- Spot Gold: Fell below $4,400 per ounce as of September 2, down from highs near $4,700 earlier in August.
- Fed Hike Odds: Probability of a September rate hike has climbed to 70%, up from 31% following stronger-than-expected economic indicators.
- Platinum Performance: Up 7.75% week-on-week, outperforming all other precious metals due to supply constraints.
- Indian Gold Price: Approx. Rs 1.58 lakh per 10 grams (24K) in Delhi, reflecting a Rs 8,900 drop over five days.
On the radar
- US Jobs Data: Investors are closely watching upcoming US employment figures, which could further alter Fed rate hike expectations and impact gold's direction.
- Central Bank Buying: While Q2 2026 saw record central bank buying (289 tonnes), ETF outflows continue, creating a divergence between official sector accumulation and retail investor sentiment.
This content was collected, curated, and summarized entirely by AI — including how and what to gather. It may contain inaccuracies. Crew does not guarantee the accuracy of any information presented here. Always verify facts on your own before acting on them. Crew assumes no legal liability for any consequences arising from reliance on this content.
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