Gold and silver prices witnessed a sharp correction on Thursday, retreating from record highs amid profit booking and easing global risk concerns. The decline pushed both precious metals significantly lower across major bullion markets, from Delhi to Patna, dealers said.
According to the All India Sarafa Association, 99.9 percent pure gold fell by ₹2,500, or 1.56 percent, to ₹1,57,200 per 10 grams in the national capital. In the previous session, gold had closed at an all-time high of ₹1,59,700 per 10 grams.
Silver recorded an even steeper fall, snapping a nine-day record rally. Prices plunged by ₹14,300, or 4.3 percent, to settle at ₹3,20,000 per kilogram. In the prior session, silver had surged to a historic peak of ₹3,34,300 per kilogram.
Why Did Prices Fall?
Market analysts attributed the sharp decline to reduced safe-haven demand and heavy profit booking after the recent rally.
Soumil Gandhi, Senior Commodity Analyst at HDFC Securities, said improved global sentiment weighed on bullion prices. “The pullback comes as investors booked profits following record highs. Market sentiment improved after US President Donald Trump withdrew tariff threats against some European countries and outlined a possible framework for a future agreement on Greenland,” he said.
Echoing similar views, Jatin Trivedi, Vice President (Research) at LKP Securities, noted that easing geopolitical risks and optimism over a potential India-US trade deal added pressure on gold and silver prices in domestic markets.
Gold Prices Across Major Cities (Per Gram)
- Mumbai:
- 22K: ₹14,145 (↓ ₹270)
- 24K: ₹15,431 (↓ ₹295)
- Delhi:
- 22K: ₹14,145 (↓ ₹270)
- 24K: ₹15,431 (↓ ₹295)
- Jaipur / Lucknow:
- 22K: ₹14,160 (↓ ₹270)
- 24K: ₹15,446 (↓ ₹295)
- Chennai:
- 22K: ₹14,200 (↓ ₹215)
- 24K: ₹15,491 (↓ ₹235)
- Bengaluru / Kolkata / Bhubaneswar:
- 22K: ₹14,145 (↓ ₹270)
- 24K: ₹15,431 (↓ ₹295)
- Patna / Ahmedabad:
- 22K: ₹14,150 (↓ ₹270)
- 24K: ₹15,436 (↓ ₹295)
What Lies Ahead?
Despite the current correction, analysts remain cautious about the near-term outlook.
Praveen Singh, Research Analyst at Mirae Asset Sharekhan, said geopolitical concerns have not completely faded, while the upcoming Union Budget and the possibility of higher import duties could support gold prices domestically.
Meanwhile, Aamir Makda, Commodity and Currency Analyst at Choice Broking, said the sharp fall in silver reflects a shift in global risk sentiment. “While industrial demand may support silver in the long run, the easing of trade-war uncertainties has triggered aggressive profit booking in the short term,” he noted.
Kayanat Chainwala, Assistant Vice President (Commodity Research) at Kotak Securities, added that volatility may persist ahead of key US inflation data and the upcoming Bank of Japan monetary policy meeting.
Market Outlook
With global cues evolving rapidly, bullion markets are expected to remain volatile in the near term. Investors are advised to closely track macroeconomic indicators and policy developments before taking fresh positions.
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