Gold & Silver Prices Decline Across India Amid Global Weakness; Check Latest Rates In Your City Here

The price of gold continued its downward trajectory for the third consecutive day in India, reflecting a mix of domestic and global market influences. In Kerala, the price of sovereign gold dropped to Rs 56,320 for 8 grams on Saturday, marking a decline of Rs 240 from the previous day. One gram of gold is now priced at Rs 7,040, a Rs 30 drop. The consistent decline has seen gold prices in Kerala decrease by Rs 880 over three days.

Gold Rates in Major Indian Cities

The decline in gold prices is evident across major markets. In Delhi, 10 grams of 24-carat gold is priced at Rs 76,963, a sharp drop from Rs 78,003 recorded yesterday. In Chennai, the price stands at Rs 76,811 per 10 grams, down from Rs 77,851. Similarly, Mumbai witnessed a decline, with gold priced at Rs 76,817 per 10 grams, down from Rs 77,857. Kolkata followed suit, with the price at Rs 76,815 per 10 grams, reflecting a Rs 1,040 drop over the past week.

Silver prices have also seen significant corrections. In Delhi, the current rate is Rs 93,500 per kilogram, down from Rs 95,500 yesterday. Chennai recorded silver at Rs 1,00,600 per kilogram, a Rs 2,000 drop from the previous day. In Mumbai, the price stands at Rs 92,800 per kilogram, while Kolkata reported silver at Rs 94,300 per kilogram.

Market Performance and Futures Trading

On the Multi Commodity Exchange (MCX), gold and silver futures displayed mixed trends. Gold February 2025 futures opened flat at Rs 75,712 per 10 grams, showing a marginal gain of 0.08% or Rs 61. Silver March 2025 futures, however, declined by 0.21% or Rs 181 to Rs 87,006 per kilogram. Despite minor fluctuations, both metals have witnessed significant losses over the past week. Gold prices have dropped by Rs 2,260 per 10 grams, while silver has plummeted by Rs 5,600 per kilogram during this period.

Globally, the price of spot gold remained steady at $2,594.59 per ounce, though it has lost over 2% this week. US gold futures were also stable at $2,609.30 per ounce. Other precious metals, including silver, platinum, and palladium, faced downward pressure. Spot silver was priced at $29.02 per ounce, while platinum and palladium dropped to $919.70 and $904.21 per ounce, respectively.

Factors Influencing Price Movements

Gold and silver prices are influenced by various factors, including global demand, currency fluctuations, interest rates, and government policies. The strength of the US dollar has played a pivotal role in the recent declines, as a strong dollar makes gold more expensive for holders of other currencies. Additionally, weak global economic sentiment has curbed investor appetite for precious metals.

In India, input from major jewellers and changes in import duties also affect domestic prices. Seasonal demand, particularly during weddings and festivals, often causes fluctuations. However, the current downward trend has persisted despite the ongoing wedding season.

Historical Trends

Over the past month, 24-carat gold prices in India have decreased by 0.49%, while the one-week decline stands at 1.09%. Silver has faced a sharper fall, reflecting the broader weakness in precious metal markets.

Analysts predict that gold prices could stabilize in the short term, depending on global economic cues and central bank policies. The upcoming US Federal Reserve policy meeting may provide additional direction, as interest rate decisions heavily impact gold demand.

Despite the recent decline, gold remains a preferred hedge against inflation and economic uncertainty. Investors are likely to watch key indicators, such as the performance of the US dollar, geopolitical developments, and changes in domestic demand, to gauge future trends.

Gold Prices saw significant declines across major Indian markets, with 24-carat gold priced at Rs 76,963 per 10 grams in Delhi. Silver Prices also saw noticeable corrections, with Delhi quoting Rs 93,500 per kilogram.

Mixed performance, with gold futures marginally up and silver futures down on the MCX. Stability in spot gold but weekly losses across precious metals due to a strong US dollar and weak demand. Despite short-term declines, gold remains a viable long-term investment for hedging against economic risks.