Gold prices in India remained unchanged for the third consecutive day on Wednesday, with 24K gold priced at ₹78,700 per 10 grams. The metal’s prices were stable despite mixed global cues and thin trading volumes. Silver, on the other hand, saw a rebound of ₹1,200, trading at ₹92,600 per kg in major Indian cities, mainly due to a weaker rupee and some demand pick-up from industrial users.
Gold Prices Remain Unchanged Amid Mixed Global Cues
In early trade on Wednesday, gold prices held steady as investors remained cautious ahead of the release of the US Federal Reserve’s minutes. Global gold prices were moving within a tight range due to a mix of supporting and opposing factors. On one hand, concerns about US trade policy uncertainty continue to support gold as a safe-haven asset. On the other hand, a strong US dollar and rising bond yields have put pressure on the precious metal, limiting its potential upside.
In the domestic market, the weak rupee has been providing some support to gold prices, but thin trading volumes and a lack of substantial demand have capped significant gains. Gold prices in India typically track global trends, but domestic factors, such as the rupee’s performance and local demand, also play a role in determining prices.
Spot gold was down by 0.04%, trading at $2,647 per ounce in early Asian trade. It moved in a narrow range between $2,645 and $2,651 per ounce, reflecting the cautious market sentiment.
Gold Prices in Major Indian Cities
Here’s a look at the latest gold prices across key Indian cities:
| City | 22K Gold (per 10 gm) | 24K Gold (per 10 gm) |
|---|---|---|
| Delhi | ₹72,290 | ₹78,850 |
| Mumbai | ₹72,140 | ₹78,700 |
| Chennai | ₹72,140 | ₹78,700 |
| Kolkata | ₹72,140 | ₹78,700 |
As of today, 24K gold remains at ₹78,700 per 10 grams in Mumbai, while 22K gold is priced at ₹72,140 per 10 grams.
Silver Prices Rebound
Silver prices saw a significant recovery on Wednesday, bouncing back by ₹1,200 to ₹92,600 per kg in major cities. This upward movement was mainly driven by a weak rupee and a pick-up in industrial demand. Globally, silver traded above $30 an ounce, further supporting prices in the domestic market.
Spot silver was up by 0.14% at $30.10 an ounce in early Asian trade, fluctuating between $30.01 and $30.15 an ounce. The firm global trends and recovering demand in India, especially from industrial users, helped silver prices bounce back after two days of sluggish movement.
Silver Prices in Major Indian Cities
Here are the latest silver prices across major cities in India:
| City | Silver Price (per kg) |
|---|---|
| Delhi | ₹92,600 |
| Mumbai | ₹92,600 |
| Chennai | ₹100,100 |
| Kolkata | ₹92,600 |
Silver is trading at ₹92,600 per kg in Mumbai and Delhi, while it is priced slightly higher at ₹100,100 per kg in Chennai due to local factors like demand and taxes.
Comparison of Gold and Silver Prices This Week
Gold prices have remained flat for the third consecutive day due to a combination of thin trading volumes and mixed global cues. While a strong US dollar has capped the gains, the metal has also benefited from some safe-haven demandamid global uncertainties, particularly surrounding the US trade policy and potential monetary policy changes by the Federal Reserve.
In contrast, silver prices rebounded today after a two-day lull, aided by firm global trends and stronger local demand. The weak rupee also played a key role in supporting silver prices, which are showing some strength as industrial demand begins to pick up.
Here’s a comparison of gold and silver prices earlier this week:
| Date | 22K Gold (per 10 gm) | 24K Gold (per 10 gm) | Silver Price (per kg) |
|---|---|---|---|
| Jan 8 | ₹72,140 | ₹78,700 | ₹92,600 |
| Jan 7 | ₹72,140 | ₹78,700 | ₹91,400 |
| Jan 6 | ₹72,140 | ₹78,700 | ₹91,400 |
| Jan 4 | ₹72,150 | ₹78,710 | ₹91,500 |
| Jan 3 | ₹71,810 | ₹78,340 | ₹90,400 |
| Jan 2 | ₹71,510 | ₹78,010 | ₹90,400 |
Outlook for Gold and Silver Prices
- Gold: The outlook for gold remains cautious due to the balancing act between geopolitical uncertainties, the strength of the US dollar, and rising bond yields. While safe-haven demand continues to provide some support, a stronger dollar and higher bond yields may limit significant price increases in the near term.
- Silver: Silver prices could see more upward momentum, particularly if industrial demand continues to rise and the rupee remains weak. Global trends, including silver’s movement above $30 per ounce, and a pickup in domestic demand from industrial users, are expected to keep silver prices supported.
Conclusion
Gold prices have remained largely stable, with limited fluctuations due to cautious trading and mixed global cues. The weak rupee continues to support gold prices in India, although thin volumes and cautious investor sentiment are capping gains. On the other hand, silver prices have rebounded significantly today, largely driven by the weak rupee and improving demand from industrial users.
Investors and consumers looking to buy gold and silver in India may find the current prices attractive, especially given the potential for further fluctuations in global markets. Keeping an eye on global trends, especially movements in the US dollar and global economic indicators, will be crucial for those tracking these precious metals.
