Gold & Silver Outlook: After Silver Jumps ₹49,100 in 6 Days, What’s Next? Experts Weigh In

Gold prices are expected to maintain their upward momentum in the coming week, driven primarily by safe-haven demand and expectations of interest rate cuts by the U.S. Federal Reserve. Meanwhile, silver may see some stabilization or range-bound trading following last week’s sharp surge.

Gold Continues Its Rise
In the domestic market, gold futures on the Multi Commodity Exchange (MCX) rose ₹3,698, or 2.7%, last week, reaching a record ₹1,43,590 per 10 grams on Wednesday. According to Pranav Meer, Vice President of Commodity and Currency Research at JM Financial Services, “A weak rupee and strong safe-haven demand have supported gold prices in the domestic market. However, profit-booking on Friday caused slight softness.”

Internationally, COMEX gold futures climbed $94.5, or 2.09%, to close at $4,595.4 per ounce on Friday, touching a record $4,650.50 per ounce during the week. Pratamesh Malya, Vice President (Research) at Angel One, said, “Geopolitical tensions, a weak dollar, lower bond yields, and continued central bank purchases are all bolstering gold. Prices on MCX could rise to ₹1,46,000 per 10 grams, while global prices may reach $4,750 per ounce.”

Analysts will closely monitor key global economic data in the coming week, including inflation figures, consumer spending indices, GDP growth, and unemployment claims, as these indicators are likely to influence market direction. Data from China, in particular, will be crucial for metals markets. Additionally, U.S. President Donald Trump’s speech at the World Economic Forum (WEF) and a Supreme Court ruling on trade tariffs could further impact market trends.

Silver May See a Pause After Strong Rally
Silver witnessed a spectacular rally last week. On MCX, silver surged approximately 14%—₹35,037—to a record ₹2,92,960 per kilogram, while global silver prices climbed 11.6% to $88.53 per ounce. In Delhi’s local bullion market, silver closed at ₹2,92,600 per kilogram on Friday, marking a ₹49,100 gain over six trading sessions.

Analysts suggest that after such an extended rally, silver may undergo a short-term correction or trading consolidation. Vijay Kuppa, CEO of Incredible Money, said, “A pause or minor dip after a strong rally in silver is natural. However, this will not affect the long-term positive outlook for the metal.”

Why Gold Remains Attractive
The continued rise in gold prices is largely driven by safe-haven demand. During times of global uncertainty, investors view gold as a secure store of value, boosting its demand and price. Expectations of U.S. Federal Reserve rate cuts further support gold, as lower interest rates make precious metals more attractive relative to fixed-income instruments like bonds and fixed deposits, which offer lower returns.