Ahead of the Union Budget 2026-27 announcement, gold and silver prices fell on Sunday, hitting new lows in futures trading. Gold futures for delivery on April 2, 2026 fell by Rs 9,140 or 6% to Rs 143,205 per 10 grams, while silver futures for delivery on March 5, 2026 fell by Rs 17,515 or 6% to Rs 274,410 per kg.As precious metal prices continued to plummet, MCX stock fell 10% to touch the downside at Rs 2,145.25. The decline follows Friday’s historic selloff in which both silver and gold posted their sharpest single-day declines. Analysts said investors rushing to book profits and a stronger U.S. dollar were the main factors behind the correction.The MCX also opened for a special Sunday session on February 1 as Finance Minister Nirmala Sitharaman is scheduled to present the Union Budget 2026. The sudden drop came after months of record gains for both metals. On Thursday, gold soared to Rs 183,000 per 10 grams and silver to Rs 404,500 per kg. By Friday, gold futures for February delivery were trading at Rs 1.5 million per 10 grams and silver for March delivery fell to Rs 300,000 per kg, registering a fall of more than 10 grams. According to data from Mirae Asset ShareKhan, the yellow metal’s market capitalization decreased by about $3.5 trillion, and silver by about $1.5 trillion, bringing the total decline to $5 trillion. Despite the recent selloff, gold has added $3 trillion and silver $2 trillion since the start of the year. Over the past two years, the international price of gold has increased by 150% and silver by 326%. Experts said the decline was caused by a combination of profit taking, large-scale liquidations of long positions and a stronger dollar. Speculation about the leadership of the US Federal Reserve added further pressure. President Donald Trump’s nomination of inflation hawk Kevin Warsh surprised the market. Manesh Sharma, AVP, Commodities and Currencies, Anand Rati Shares & Stock Brokers, told TOI, “On Wednesday, the US Federal Reserve also kept interest rates unchanged after revealing an improvement in the labor market. On inflation, it remains high and is sticking to its data-dependent and meeting-by-meeting approach.” He added: “The sharp move in precious metals seen on Friday reflects speculation that Mr. Warsh may be less enthusiastic about rate cuts, given his past warnings of inflation risks and recent calls for the Fed to shrink its balance sheet. This led to a rise in the dollar and yields, weighing on sentiment towards the bullion complex.”(Disclaimer: Expert recommendations and opinions on the stock market, other asset classes, or personal financial management tips are their own. These opinions do not represent the views of Times of India)