Silver plunges ₹12,500 to ₹2.43 lakh per kg while gold slips ₹900
Silver prices witnessed a sharp fall in Indian markets, plunging by ₹12,500 to ₹2.43 lakh per kg, while gold prices declined by ₹900. The steep correction came amid weak global cues, profit booking by investors and pressure from a stronger US dollar.
Prices of precious metals declined sharply in the domestic market, with silver leading the losses. Silver crashed by ₹12,500 to settle at ₹2.43 lakh per kilogram, marking one of the steepest single day drops in recent times. Gold prices also weakened, falling by ₹900 across major markets.
Market participants attributed the sharp correction to a combination of global and domestic factors. Internationally, silver prices came under pressure due to a stronger US dollar and easing demand expectations. The rise in global bond yields also reduced the appeal of non interest bearing assets such as precious metals.
Gold prices tracked the broader weakness, as investors opted for profit booking after recent gains. Uncertainty around global monetary policy and expectations of interest rate movements weighed on sentiment. Traders said cautious positioning ahead of key global economic data added to the selling pressure.
In the domestic market, jewellers and stockists reduced fresh buying as prices remained volatile. Demand remained subdued, particularly in the bullion segment, as buyers adopted a wait and watch approach following the sudden fall in prices.
Analysts noted that silver tends to witness sharper price swings compared to gold due to its dual role as an industrial and investment metal. Any change in outlook for global manufacturing or economic growth often has an amplified impact on silver prices.
Despite the sharp decline, experts said long term fundamentals for precious metals remain linked to inflation trends, central bank policies and geopolitical developments. However, in the near term, prices are expected to remain volatile as global cues continue to drive market direction.
The latest fall has prompted investors to reassess entry points, with many closely tracking global market signals before making fresh positions in gold and silver.
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