Silver Slumps to 10-Month Low in Delhi While Global Gold Prices Climb

Silver prices dropped below two lakh rupees per kg in the national capital for the first time in ten months on Tuesday, as weakness in global bullion markets and a stronger dollar hurt buyer sentiment. According to the All India Sarafa Association, silver fell by four thousand rupees to stand at one lakh ninety-eight thousand rupees per kg with all taxes included, marking its lowest point in ten months after closing at two lakh two thousand rupees in the previous session. Gold prices also saw varied movements, with gold of ninety-nine point nine percent purity falling by five hundred rupees to one lakh forty-five thousand eight hundred rupees per ten grams in Delhi. Meanwhile, global spot gold climbed zero point nine percent to four thousand fifty-one point seventy-eight dollars per ounce by eight-two-nine pm IST, and US gold futures for December delivery rose zero point sixty-nine percent to four thousand sixty-six point forty dollars per ounce. Market participants globally are awaiting the US Federal Reserve policy meeting for signals on future interest rates, while Kotak Neo head of commodities research Banerjee noted that gold is currently tracking macroeconomic fundamentals and real interest rates on the dollar rather than traditional safe-haven demand.

Context

Precious metals like gold and silver often react strongly to global economic shifts, currency values, and central bank interest rate decisions. When the US dollar grows stronger or borrowing costs stay high, investors often move away from bullion, while events like Federal Reserve meetings heavily influence these day-to-day market movements.