Budget 2025 Effect? Gold Prices In Chennai Skyrocket; 22k/100g Gold Surges Rs. 8500; Silver Hits A Pause

Bullion investors are rejoicing as the gold prices in Chennai experienced a significant spike this morning. While the nation anticipates the Union Budget announcement this Saturday, global factors are also contributing to the bullish sentiment in gold prices. The next major push in gold rates can come from the Federal Reserve's policy meeting scheduled for today; the outcomes, particularly any potential rate cuts, will be crucial in determining gold price movements in the coming days.

Today's Gold Rates In Chennai

As of 29th January 2025, the 22-carat gold rates in Chennai jumped Rs. 920 per 10 grams to cost Rs. 82,850, while the 22-carat yellow metal in Chennai saw a rise of Rs. 850 per 10 grams to retail at Rs. 75,950. Similarly, the 18-carat gold prices in Chennai rose to Rs. 62,140 after a jump of Rs. 690 per 10 grams.

Similarly, the 100 g of 24-carat gold rates in Chennai jumped Rs. 9,200 to cost Rs. 8,28,500. And the 100 grams of 22-carat gold now costs Rs. 759,500 after rising to Rs. 8,500 per 100 grams. Likewise, the cheaper variant of 18-carat gold rates in Chennai now retails at Rs.

Silver Prices in Chennai Today

Silver Prices in Chennai Today Slipped after prices showed no major movement in past trading sessions. Currently, 1 kg of white metal in Chennai now costs Rs. 1,04,000, and 100 grams of white metal currently stands at Rs. 10,400.

Chennai Gold Prices Movement in the Last Five Days

Over the last five days the prices have been quite volatile with major gains and losses.

Dates	24-carat/10g	22 carat/10g
28th January	Rs. 81,930	Rs. 75,100
27th January	Rs. 82,250	Rs. 75,400
26th January	Rs. 82,420	Rs. 75,550
25th January	Rs. 82,420	Rs. 75,550
24th January	Rs. 82,420	Rs. 75,550

Spot Gold and Silver Rates Update

According to the latest report from Returns, gold prices remained relatively unchanged on Wednesday as market participants awaited the U.S. interest rate decision. The spotlight also shifted to President Donald Trump's trade policies, with fresh tariff threats weighing on investor sentiment. Spot gold held steady at USD 2,762.49 per ounce as of 03:17 GMT, while U.S. gold futures gained 0.1%, reaching $2,769.90. Spot silver remained flat at USD 30.38 per ounce.

Yesterday, spot gold prices ended on a positive note, rising by 0.85%, while silver prices also saw a 0.7% increase despite a strong dollar and a recovery in U.S. Treasury yields.

MCX Gold and Silver Futures Outlook

On the Multi Commodity Exchange (MCX), gold futures, expected to mature on February 5, 2025, are trading higher by 0.07% at Rs. 80,349. However, silver futures, with an expiry date of March 5, 2025, are trading lower this morning with a decline of 0.05% at Rs. 91,003.

"MCX Gold February is expected to slip back towards the Rs.79,700 level as long as it stays below the Rs.80,500 level, while MCX Silver March is expected to slip back towards the Rs.89,800 level as long as it trades below the Rs.92,500 level," said an ICICI Direct commodity research report.

Market Outlook for Gold and Silver Prices

Analysts at ICICI Direct Research stated that "Spot gold is likely to face stiff resistance near the USD 2,790 level on a strong dollar and a rise in US treasury yields ahead of the US Federal Reserve's first monetary policy this year, where the central bank is likely to keep its benchmark overnight interest rate in the 4.25%-4.50% range. More focus will be on statements to get clarity on future rate trajectory. Fed chair Powell is likely to strike a cautious tone and keep the Fed's options open so that it provides policymakers time to assess the impact of US President Donald Trump's administration policies. Meanwhile, uncertainties surrounding US President Donald Trump's proposed tariffs will increase demand for safe havens. "