Gold and silver prices declined sharply on Wednesday, extending their correction from record highs earlier this year. According to the India Bullion and Jewellers Association (IBJA), the price of 24-carat gold fell by ₹1,733 to ₹1.42 lakh per 10 grams, while silver dropped ₹5,650 to ₹2.22 lakh per kilogram.

The latest decline comes after months of heightened volatility in the bullion market, driven by shifting global economic conditions, geopolitical developments and changing investor sentiment.

Gold Down Nearly ₹34,000 from Peak

Gold has witnessed significant fluctuations since the beginning of 2026.

The precious metal was priced at around ₹1.33 lakh per 10 grams on December 31, 2025, before rallying to an all-time high of ₹1.76 lakh on January 29, 2026. Since then, gold prices have corrected by approximately ₹33,771 per 10 grams, reflecting a cooling of the record-breaking rally seen earlier this year.

Market analysts attribute the correction to profit booking, easing safe-haven demand and evolving expectations surrounding global interest rates.

Silver Extends Sharp Correction

Silver has experienced an even steeper decline from its historic peak.

After closing at around ₹2.30 lakh per kilogram at the end of 2025, the white metal surged to an all-time high of ₹3.86 lakh per kilogram on January 29. Since then, prices have fallen by nearly ₹1.64 lakh, taking silver to ₹2.22 lakh per kilogram.

Despite the correction, both gold and silver continue to trade well above their levels seen a year ago.

Bullion Market Remains Volatile

The bullion market has remained highly sensitive to global developments throughout 2026.

Movements in international gold prices, fluctuations in the US dollar, central bank policy expectations and geopolitical uncertainties have contributed to frequent price swings in precious metals.

Investors continue to monitor global economic indicators before making fresh allocations to safe-haven assets such as gold and silver.

Tips for Gold Buyers

Industry experts advise consumers to exercise caution while purchasing gold jewellery or investment products.

Buyers should always purchase BIS hallmarked gold, which certifies the purity of the metal. Every certified jewellery item carries a unique alphanumeric hallmark identification number that verifies its authenticity.

Consumers are also advised to compare prevailing gold prices from reliable sources, including the India Bullion and Jewellers Association (IBJA), before making a purchase, as rates vary depending on whether the gold is 24-carat, 22-carat or 18-carat.

How to Check Genuine Silver

Experts recommend a few simple methods to verify silver authenticity:

• Magnet Test: Genuine silver is non-magnetic and should not stick to a magnet.

• Ice Test: Silver has high thermal conductivity, causing ice placed on it to melt quickly.

• Smell Test: Pure silver is odourless, while counterfeit products may emit a metallic or copper-like smell.

• Cloth Test: Rubbing silver with a white cloth may leave a dark residue due to natural oxidation, indicating genuine silver.

Bullion prices are expected to remain volatile in the coming weeks as investors assess global economic data, inflation trends and monetary policy signals. Analysts believe any major geopolitical developments or changes in interest rate expectations could continue influencing the direction of gold and silver prices.

Gold and silver prices witnessed fresh movement on Wednesday, July 8, with both precious metals closing higher in the domestic bullion market. According to the latest data released by the India Bullion and Jewellers Association (IBJA), the price of 24-carat gold rose by ₹177 to around ₹1.44 lakh per 10 grams, while silver gained ₹150 to trade at approximately ₹2.27 lakh per kilogram. Market experts attribute the fluctuations to global economic developments, movements in the US dollar, central bank policies and changing investor sentiment.

Gold has delivered strong returns so far in 2026. On December 31, 2025, the price of 24-carat gold stood at approximately ₹1.33 lakh per 10 grams. With the latest increase, the yellow metal has appreciated by nearly ₹11,000 within the first half of the year.

Although prices have witnessed intermittent corrections during this period, gold has continued to attract investors seeking a safe-haven asset amid global uncertainty. Analysts believe international market trends, geopolitical developments and sustained investment demand have played a key role in supporting domestic prices.

Silver Still Below Its 2025 Closing Level

Silver also registered a modest gain on Wednesday, but it continues to trade below the level seen at the beginning of the year.

The metal was priced at around ₹2.30 lakh per kilogram on December 31, 2025, compared with approximately ₹2.27 lakh per kilogram currently, reflecting a decline of nearly ₹3,000 over the period.

Traders note that silver tends to experience greater price volatility than gold due to its dual role as both an investment asset and an industrial metal. Demand from manufacturing sectors, global economic activity and investor participation continue to influence silver prices.

Precious Metals Touched Record Highs This Year

Both gold and silver reached record levels earlier in 2026 before witnessing corrections.

On January 29, 2026, gold touched an all-time high of nearly ₹1.76 lakh per 10 grams, while silver surged to approximately ₹3.86 lakh per kilogram.

Following those peaks, profit booking and changing global market conditions led to a correction in prices. With fresh buying interest returning to the bullion market, investors are closely watching price trends for the coming months.

Market analysts continue to view gold as a preferred long-term investment during periods of economic uncertainty, while silver is often considered a higher-risk asset with the potential for stronger returns during favourable market conditions.

Tips for Gold Buyers

Experts advise consumers planning to purchase jewellery to follow a few essential precautions:

Always buy BIS hallmarked gold to ensure purity and authenticity.
Verify the day's prevailing gold price before making a purchase.
Check the purity level (22-carat, 24-carat, etc.) mentioned on the invoice.
Carefully review the weight, making charges and applicable taxes before completing the transaction.
How to Identify Genuine Silver

Consumers should also exercise caution while purchasing silver, as both genuine and counterfeit products are available in the market.

Some commonly used methods to identify authentic silver include:

Magnet Test: Pure silver is non-magnetic and does not stick to a magnet.
Ice Test: Ice melts quickly on silver because of its high thermal conductivity.
Odour Test: Genuine silver is odourless, while impure alloys may emit a metallic or copper-like smell.
Cloth Test: Rubbing silver with a soft white cloth may leave a slight black mark, which is considered a normal characteristic of pure silver.

Bullion dealers expect gold and silver prices to remain volatile in the near term as investors monitor global interest rate decisions, inflation trends, geopolitical developments and currency movements. Market participants believe precious metals will continue to play an important role in investment portfolios amid ongoing economic uncertainty.

Gold and silver prices registered a sharp weekly gain in the domestic bullion market, with gold rising by ₹6,471 per 10 grams and silver climbing ₹17,317 per kilogram, as investors returned to precious metals after prices corrected from their record highs.

According to the latest market data, gold is now trading at around ₹1.46 lakh per 10 grams, up from nearly ₹1.40 lakh a week earlier. Silver also witnessed a strong rally, moving from ₹2.17 lakh per kilogram to ₹2.34 lakh per kilogram during the same period.

Market experts attribute the latest surge to renewed investor interest after both precious metals retreated significantly from their all-time peaks earlier this year. Many investors viewed the correction as an opportunity to accumulate bullion, driving prices higher.

Gold and Silver Continue to Gain in 2026

Despite periods of volatility, precious metals have remained strong performers in 2026.

Since the beginning of the year, gold prices have increased by ₹13,145 per 10 grams, rising from ₹1.33 lakh on December 31, 2025, to the current level of ₹1.46 lakh.

Silver has also posted gains, though at a comparatively slower pace. Prices have risen by ₹3,438 per kilogram since the start of the year, increasing from ₹2.30 lakh to ₹2.34 lakh per kilogram.

Both metals, however, remain below their record highs. Gold touched an all-time high of ₹1.76 lakh per 10 grams on January 29, 2026, while silver reached a historic ₹3.86 lakh per kilogram earlier this year.

Import Duty Hike Adds Pressure on Prices

One of the major factors supporting domestic bullion prices has been the government's decision to increase import duties on precious metals.

In May 2026, the Centre raised the effective import duty on gold and silver from 6% to 15%. The revised tax structure includes a 10% Basic Customs Duty and a 5% Agriculture Infrastructure and Development Cess (AIDC).

The move is aimed at reducing imports of precious metals and easing pressure on India's foreign exchange reserves. It also partially reversed the customs duty reduction announced in the Union Budget 2024.

Jewellery Imports Now Under Restricted Category

The government has also tightened import regulations by shifting gold, silver and platinum jewellery from the 'Free' category to the 'Restricted' category.

Under the revised rules issued by the Directorate General of Foreign Trade (DGFT), importers now require a government licence or special permission to bring jewellery made from these precious metals into India. Officials say the measure is intended to prevent misuse of Free Trade Agreements (FTAs) and improve regulatory oversight.

The tighter import norms are expected to influence domestic supply and could continue supporting bullion prices if demand remains strong.

Why Gold Prices Differ Across Cities

Gold prices are not uniform across India due to several local factors, including:

• Transportation, insurance and security costs.

• Regional demand and purchase volumes.

• Rates determined by local jewellery associations.

• Existing inventory and procurement prices of jewellers.

These factors often result in slight price variations between major cities.

Tips for Buyers

Experts advise consumers to exercise caution while purchasing precious metals.

Buyers should always choose BIS-hallmarked gold to ensure purity and authenticity. They are also advised to compare prevailing market rates before making a purchase, as prices vary depending on whether the jewellery is made from 24-carat, 22-carat or 18-carat gold.

For silver purchases, simple authenticity checks such as the magnet test, ice test, cloth test, and checking for any metallic odour can help identify genuine products, although certification remains the most reliable method.

With global uncertainties, domestic policy changes and steady investment demand continuing to influence the bullion market, analysts expect gold and silver prices to remain closely watched by both investors and jewellery buyers in the coming weeks.

Gold and silver prices witnessed a sharp decline on Tuesday, June 23, 2026, as bullion markets continued to react to changing global economic conditions and easing geopolitical concerns. According to data released by the India Bullion and Jewellers Association (IBJA), silver prices fell by ₹10,566 per kilogram in a single trading session, while gold prices dropped by ₹2,522 per 10 grams.

With this decline, silver prices slipped to ₹2.27 lakh per kilogram from ₹2.37 lakh recorded a day earlier. Gold prices also fell sharply, with 24-carat gold closing at ₹1.45 lakh per 10 grams compared to ₹1.47 lakh on Monday.

The latest correction has significantly reduced gains accumulated earlier in the year. Since the beginning of June, gold has become cheaper by ₹10,748 per 10 grams, while silver has declined by ₹36,015 per kilogram. Market experts attribute the fall to profit-booking by investors, easing concerns over global supply disruptions, and changing expectations regarding international economic policies.

Sharp Fall from Record Highs

The decline becomes more significant when compared to the record highs touched earlier this year. Gold had reached an all-time high of ₹1.76 lakh per 10 grams on January 29, 2026. Since then, the yellow metal has corrected by more than ₹31,000.

Silver has witnessed an even steeper fall. After touching a historic high of ₹3.86 lakh per kilogram in January, silver prices have dropped by nearly ₹1.59 lakh within about five months. Analysts believe that extreme volatility in industrial demand expectations and global commodity markets has contributed to the sharp swings in silver prices.

Bullion traders noted that precious metals often react strongly to developments in international markets. Recent stability in crude oil prices and reduced fears of major disruptions in global trade have lessened demand for traditional safe-haven assets such as gold and silver.

Impact of Import Duty Changes

The bullion market is also adjusting to recent policy changes. The central government has increased the import duty on gold and silver from 6% to 15%, comprising 10% Basic Customs Duty and 5% Agriculture Infrastructure and Development Cess (AIDC).

According to market observers, the move is aimed at reducing dependence on imports and limiting pressure on India's foreign exchange reserves. The higher duty structure could influence domestic pricing trends and consumer demand in the coming months.

Jewellery retailers, however, indicate that local prices continue to vary from city to city due to transportation expenses, security costs, local demand patterns and inventory purchased at different rates.

For consumers planning to purchase gold, industry experts recommend buying only BIS-hallmarked jewellery and verifying prevailing market rates before making a purchase. Hallmark certification remains one of the most reliable indicators of purity.

Similarly, buyers of silver are advised to check authenticity through standard verification methods and purchase from trusted dealers. As prices remain volatile, traders expect continued fluctuations in the bullion market over the coming weeks.

The sharp fall in silver prices today and the decline in gold rates highlight how quickly precious metal markets can react to global developments. Investors and consumers alike are likely to keep a close watch on international trends, policy decisions and currency movements for further direction in bullion prices.

Gold prices fell by ₹3,152 per 10 grams while silver recorded a sharp ₹9,209 per kg decline as precious metals came under pressure amid uncertainty surrounding the US-Iran peace deal and broader market volatility.

Precious metals witnessed a steep correction on Thursday, with silver posting one of its sharpest single-day declines in recent months and gold prices also retreating significantly. Market participants attributed the fall to shifting investor sentiment amid uncertainty over developments related to the US-Iran peace agreement and weakness across global financial markets.

According to data released by the India Bullion and Jewellers Association (IBJA), silver prices dropped by ₹9,209 per kilogram to ₹2.31 lakh. The metal had closed at ₹2.40 lakh per kg a day earlier.

Gold prices also registered a notable decline. The rate of 24-carat gold fell by ₹3,152 per 10 grams to ₹1.45 lakh from the previous day's level of ₹1.48 lakh.

Sharp correction recorded

The fall comes after months of extreme volatility in precious metals, which had surged to record highs earlier this year amid geopolitical tensions, inflation concerns and uncertainty in global financial markets.

Analysts said that as investors assessed evolving developments in West Asia and signs of easing geopolitical risks, some safe-haven demand weakened, triggering profit booking in both gold and silver.

Broader weakness in global markets also contributed to the decline, with investors adjusting positions across multiple asset classes.

Gold slips from peak

Despite the latest correction, gold remains substantially higher compared to levels seen at the end of last year.

IBJA data shows that gold was priced at around ₹1.33 lakh per 10 grams on December 31, 2025. Prices continued climbing through January and touched an all-time high of ₹1.76 lakh per 10 grams on January 29.

Since that record level, however, gold has corrected by nearly ₹32,000 per 10 grams.

Market experts note that such sharp moves are not uncommon after periods of rapid price appreciation, particularly when global investors begin shifting funds toward riskier assets.

Silver remains volatile

Silver has experienced even greater fluctuations during the same period.

The metal was trading at ₹2.30 lakh per kilogram at the end of 2025 before rallying sharply to a historic high of ₹3.86 lakh per kg on January 29. Since then, prices have fallen by approximately ₹1.56 lakh per kilogram.

The latest decline underscores the heightened volatility often associated with silver, which is influenced by both investment demand and industrial consumption trends.

What buyers should check

Industry bodies continue to advise consumers to exercise caution while purchasing gold jewellery and bullion products.

Buyers should ensure that gold carries a valid Bureau of Indian Standards (BIS) hallmark, which certifies purity standards. Hallmark identification numbers help verify the authenticity and carat value of the metal.

Consumers are also advised to compare prevailing market rates before making purchases, as gold prices vary depending on purity levels such as 24-carat, 22-carat and 18-carat categories.

Identifying genuine silver

Jewellers and market experts suggest a few basic checks that can help consumers identify genuine silver products.

Real silver generally does not stick to magnets. It also conducts heat efficiently, causing ice placed on its surface to melt more quickly. Authentic silver typically has no noticeable smell, while imitation products may emit a copper-like odour. Rubbing silver with a white cloth may leave a dark mark due to natural oxidation, which can be another indicator of authenticity.

Markets watch global cues

Traders will continue monitoring geopolitical developments, commodity trends and global investor sentiment in the coming days. Any clarity regarding international negotiations and broader economic conditions could influence the direction of gold and silver prices.

For now, the sharp decline in gold and silver prices highlights how quickly sentiment can shift in commodity markets after periods of record-breaking gains.

The domestic bullion market opened higher on June 18, with gold and silver prices witnessing an uptick across major Indian cities. Market participants tracked developments surrounding the recent US-Iran agreement, which is expected to reduce tensions in the Middle East and improve stability in global energy supplies.

According to market data, the price of 24-carat gold in India stood at ₹1,54,180 per 10 grams, while Silver 999 Fine was priced at ₹2,53,170 per kilogram. Multi Commodity Exchange (MCX) gold futures traded near ₹1,53,899 per 10 grams during early trade, while silver futures hovered around ₹2,52,046 per kilogram.

Internationally, spot gold rose nearly 1.5% to around $4,322 per ounce after recovering from losses recorded in the previous trading session. Silver also gained strength in overseas markets, climbing more than 2%, supported by renewed buying interest in precious metals.

Major Cities Record Marginal Variations

Gold rates showed minor differences across key metropolitan centres. In Mumbai, 24-carat gold was quoted at ₹1,53,900 per 10 grams, while 22-carat gold traded at ₹1,41,075. The rate for 18-carat gold stood at ₹1,15,425 per 10 grams.

Delhi reported 24-carat gold prices of ₹1,53,630 per 10 grams, with 22-carat gold at ₹1,40,828 and 18-carat gold at ₹1,15,223. Similar trends were observed in Kolkata, Chennai, Bengaluru, Hyderabad and Ahmedabad, where prices remained close to the national average.

Silver prices also stayed firm, ranging between ₹2.52 lakh and ₹2.53 lakh per kilogram across major cities.

Global Factors Influence Bullion Market

Reports indicate that the US-Iran agreement could help restore normal shipping activity through the Strait of Hormuz, one of the world's most important energy routes. The development triggered a rally in global equity markets and pushed crude oil prices lower.

However, analysts believe investors continue to maintain exposure to gold as a hedge against inflation, currency fluctuations and broader economic risks. As a result, bullion prices have remained near historic highs despite improving geopolitical conditions.

Market experts note that movements in the US dollar, Federal Reserve policy decisions and global bond yields will continue to influence gold and silver prices in the coming weeks. Any changes in interest rate expectations could impact investment demand for precious metals.

Gold and silver prices recorded a significant correction this week, easing from their recent highs as investors opted to hold cash amid growing geopolitical uncertainty and profit-booking activity. According to data released by the India Bullion and Jewellers Association (IBJA), the price of 24-carat gold declined by ₹6,438 per 10 grams over the past week, while silver prices fell by ₹14,326 per kilogram. The latest movement comes after months of sharp volatility in precious metal markets, which had surged to record highs earlier this year. Market analysts say the decline reflects changing investor sentiment, with many traders reducing exposure to bullion and increasing liquidity in response to ongoing global tensions. The correction is being closely watched by jewellers, investors, and consumers ahead of the upcoming festive and wedding demand season in India.

According to IBJA figures, 24-carat gold is now trading at approximately ₹1.48 lakh per 10 grams, compared to ₹1.54 lakh on June 6. Silver prices have also softened, falling from ₹2.57 lakh per kilogram to around ₹2.43 lakh per kilogram during the same period.

The decline marks one of the sharpest weekly corrections in recent months and comes after both precious metals touched historic highs earlier in 2026.

Record Highs Earlier This Year

Gold and silver markets have witnessed extreme volatility since the beginning of the year. On December 31, 2025, gold was priced at around ₹1.33 lakh per 10 grams. Prices later surged to an all-time high of ₹1.76 lakh on January 29, driven by global uncertainty and strong investment demand.

Since reaching that peak, gold prices have corrected by nearly ₹28,000 per 10 grams.

Silver followed a similar trajectory. Starting the year at ₹2.30 lakh per kilogram, the metal climbed to a record ₹3.86 lakh per kilogram in January. However, the market has since witnessed a sharp reversal, with prices declining by nearly ₹1.43 lakh per kilogram over the last 135 days.

Why Prices Are Falling

Market experts attribute the recent decline to a combination of investor behavior and changing market dynamics.

One major factor is the growing preference for cash holdings. Reports indicate that investors are becoming increasingly cautious amid tensions in the Middle East and broader global economic uncertainty. Instead of moving additional funds into precious metals, many are liquidating positions to maintain higher cash reserves.

Another key reason is profit booking. Gold and silver delivered exceptional returns during the early months of the year, encouraging institutional and large-scale investors to sell holdings at elevated levels. The increase in supply has put downward pressure on prices across bullion markets.

Impact on Consumers and Investors

The correction could offer some relief to jewellery buyers who postponed purchases during the period of record-high prices. Lower rates may encourage demand from retail consumers, particularly with the festive and wedding season approaching in several parts of the country.

For investors, however, the recent decline highlights the volatility that has characterized precious metals throughout 2026. Analysts suggest that future price movements will largely depend on global economic conditions, central bank policies, currency trends, and geopolitical developments.

Precious metals take a steep hit as global uncertainty weighs on sentiment; silver loses ₹30,000 in just ten days

Gold and silver prices fell sharply on Wednesday as escalating tensions in the Middle East rattled global commodity markets, pushing both metals into steep decline and catching buyers off guard ahead of what had been a period of sustained highs.

Gold Drops Over ₹5,000

According to the India Bullion and Jewellers Association (IBJA), 24-carat gold fell ₹5,373 on June 10 to trade at ₹1.47 lakh per 10 grams. The drop, one of the sharper single-day corrections in recent weeks, follows a broader pullback in safe-haven demand as risk sentiment shifted across global markets.

Silver Sees Steeper Correction

Silver bore the brunt of Wednesday's sell-off. One kilogram of silver fell ₹12,655 to settle at ₹2.33 lakh — a notable correction for a metal that had been trading near multi-month highs. Just ten days ago, on May 31, silver was priced at ₹2.63 lakh per kilogram. That amounts to a ₹30,000 decline in under a fortnight.

Over the same period, gold has shed roughly ₹9,000 per 10 grams.

Middle East Uncertainty Drives Volatility

Market analysts point to renewed geopolitical tensions in the Middle East as the primary trigger. While gold traditionally benefits from uncertainty, the latest developments appear to have unsettled speculative positions across commodities, prompting a broad unwind. Domestic demand has also remained subdued, with buyers staying on the sidelines at elevated price levels.

What Buyers Should Watch

For retail consumers — particularly those eyeing gold purchases ahead of upcoming festive or wedding seasons — the dip offers a short window of relative relief after weeks of record-level pricing. However, traders caution that volatility is likely to persist as long as geopolitical signals remain mixed.

Whether Wednesday's correction marks a deeper trend reversal or a temporary pullback remains to be seen. Global cues, especially movement in the dollar index and crude oil prices, will likely dictate the near-term direction for both metals.

Gold prices witnessed a notable rise on Tuesday, June 9, with the yellow metal climbing ₹1,095 to reach ₹1.53 lakh per 10 grams for 24-carat purity, according to the India Bullion and Jewellers Association (IBJA). Silver, however, saw a marginal decline of ₹1,307 per kg, settling at ₹2.46 lakh.

The uptick in gold comes amid ongoing global economic uncertainties and steady domestic demand during the wedding season. Market participants noted that the movement reflects a mix of international cues and local buying interest.

Steady Demand Supports Gold Rally

Bullion traders in major markets like Mumbai, Delhi, and Chennai reported brisk inquiries from jewellers and investors. The 22-carat gold, popular for jewellery, also mirrored the trend, though exact figures vary slightly across cities due to making charges and local taxes.

According to IBJA data, the price of 10 grams of 24-carat gold now stands at ₹1,53,000, up from Monday’s closing levels. This marks a continuation of the broader upward trajectory seen in recent months.

Yearly Gains Remain Impressive

This year has been particularly strong for precious metals. Since the beginning of 2026, gold has gained nearly ₹19,000 per 10 grams, while silver has added around ₹15,000 per kg. On December 31, 2025, 10 grams of gold was trading at approximately ₹1.33 lakh. The metal had also touched an all-time high of ₹1.76 lakh per 10 grams on January 29 this year.

Silver, which closed 2025 at around ₹2.30 lakh per kg, has similarly shown resilience, peaking at ₹3.86 lakh earlier in the year before correcting.

Factors Driving the Precious Metals Market

Analysts attribute the sustained rally to several factors, including inflation hedging, geopolitical tensions, and central bank buying globally. In India, cultural affinity for gold as an investment and gift item continues to provide strong floor support.

“Domestic demand remains robust, especially ahead of key festivals and marriage seasons,” said a senior trader in Zaveri Bazaar, Mumbai. Sources familiar with the market added that rupee movements against the dollar also play a crucial role in price discovery.

Silver Prices Ease Slightly

Unlike gold, silver prices eased on Tuesday. One kilogram of the white metal dropped ₹1,307 to trade at ₹2.46 lakh. Market watchers pointed to profit-booking after recent gains and relatively softer industrial demand cues as possible reasons for the mild correction.

Silver often moves in tandem with gold but is more sensitive to industrial consumption in sectors like electronics and solar energy.

Tips for Buyers: What to Keep in Mind

Jewellers and consumer forums continue to advise caution while purchasing gold. Experts recommend insisting on BIS-hallmarked jewellery only. The hallmark, an alphanumeric code such as AZ4524, confirms the purity and authenticity of the metal.

Buyers should also cross-check the prevailing price on the day of purchase through reliable sources like the IBJA website or apps of reputed jewellers. Verifying the exact weight at the time of buying remains equally important to avoid any discrepancies.

Outlook for Gold and Silver

With the monsoon session of Parliament underway and key economic data releases expected in the coming weeks, volatility in the bullion market may persist. Global developments, particularly US Fed rate decisions and any escalation in international conflicts, could influence prices further.

For now, the mood in India’s bullion market remains cautiously optimistic. Many investors view the current levels as an opportunity to accumulate, while jewellers hope for steady demand in the coming days.

The Reserve Bank of India’s gold reserves and broader macroeconomic indicators are also being closely watched by industry stakeholders. As summer gives way to the wedding and festive period later this year, demand for physical gold could see another leg up.

Gold and silver prices closed the week with significant cuts, pulling back further from the historic highs seen in late January. According to data from the India Bullion and Jewellers Association (IBJA), 24-carat gold (10 grams) fell by ₹1,654, settling at ₹1.56 lakh. This is a notable slide from last week’s level of ₹1.58 lakh on May 23.

Silver saw an even sharper decline in value. The white metal dropped by ₹2,650 per kg, with current trading rates hovering around ₹2.63 lakh. For investors who had piled in earlier this year, the last few weeks have been a rough ride.

From peak to correction

The downturn is more striking when viewed against the backdrop of the recent rally. Gold started the year at ₹1.33 lakh in late December. Within a month, it shot up to an all-time high of ₹1.76 lakh on January 29. Since then, the metal has shed nearly ₹20,000.

Silver’s trajectory has been even more volatile. It began 2026 at ₹2.30 lakh before skyrocketing to its record peak of ₹3.86 lakh on the same day in late January. In the 118 days since that historic high, silver has crashed by a massive ₹1.23 lakh.

Why the selloff?

Typically, geopolitical tensions drive investors towards safe-haven assets like bullion. However, sources tracking the bullion market say the current dynamic is different. The ongoing Middle East conflict has prompted a shift in strategy.

“Investors are moving away from metals and booking profits,” an industry source familiar with trading patterns said. “There is a clear preference for holding cash right now. Large investors are liquidating their holdings to have liquidity on hand, given the uncertainty.”

Initial reports from commodity exchanges indicate that heavy profit booking at the January peak triggered a supply glut. Once prices started dipping from the record levels, stop-losses were triggered, accelerating the fall.

What buyers should check

For retail consumers looking to enter the market at these lower levels, local authorities advise caution and verification.

First, always insist on BIS hallmarked gold. The certification ensures purity. Look for the alphanumeric code (like AZ4524) that confirms the caratage and authenticity.

Second, never rely on a single source for the day’s rate. Jewellers advise buyers to cross-check the official IBJA rate for the day before making a purchase, ensuring the weight and making charges are calculated correctly.

Looking ahead

Market watchers expect the volatility to persist in the near term. While the prices are significantly lower than the January peaks, analysts say the trend will depend on how global liquidity preferences evolve in the coming weeks. For now, the glitter seems to have dimmed a bit.

Govt restricts silver imports, makes licence mandatory for key categories

Silver import rules tightened to curb non-essential imports; primary keyword “silver imports” used here

New Delhi, late morning — The central government on Saturday tightened rules around silver imports, moving key categories from a freely importable list to the “restricted” category and making an import licence mandatory, according to an official notification seen by this newspaper.

What changed
The notification says 99.9% pure silver bars, unwrought (raw) silver, silver powder and silver coated with gold or platinum will now require prior government approval for import. Customs will not clear consignments in these categories without the requisite licence, officials said.

Why the step was taken
Officials described the move as aimed at reducing non-essential imports and checking the outflow of foreign exchange. “Rising imports of precious metals have been widening the trade deficit and putting pressure on the rupee,” a government source familiar with the matter said on condition of anonymity. The change follows an earlier increase in import duty: on May 13 the government raised import duty on gold and silver from 6% to 15%.

Timing and context
The DGFT notification comes amid a sharp year‑to‑date rise in bullion prices and record gold imports in 2025–26. India’s gold import bill climbed over 24% to about $72 billion last fiscal year, putting added focus on curbing precious‑metal imports. Silver prices have also jumped — from roughly ₹2.30 lakh per kg on 31 December 2025 to about ₹2.69 lakh per kg this month, industry data show.

Trade and routing concerns
Think tanks and officials cited concerns that low‑duty silver could be routed through third countries, notably the UAE, under trade pacts such as the India‑UAE CEPA. “There was a risk of a surge in cheap silver imports routed via Dubai to exploit preferential tariffs,” said Ajay Srivastava, founder of the Global Trade Research Institute (GTRI). The restricted status is intended to plug such channels, the government said.

Rules for importers
Under the new process importers must obtain a licence from the commerce ministry or designated authority before consignments are cleared by customs. Some categories may also be placed under Reserve Bank of India monitoring, which would add compliance for banks and traders dealing in overseas payments for bullion.

Changes to Advance Authorisation
Separately, DGFT has tightened the Advance Authorisation scheme that allows duty‑free imports for exporters. Exporters will be allowed to import a maximum of 100 kg of gold per licence, and first‑time applicants must undergo physical verification of their manufacturing units before licences are issued. Repeat authorisations will be contingent on meeting at least 50% of past export obligations, the notification said. Firms must now file transaction reports every 15 days, certified by a chartered accountant, with regional DGFT officers compiling monthly reports for headquarters.

Industry reaction
Jewellery and manufacturing bodies expressed concern about the suddenness of the move. The All India Gems and Jewellery Council warned higher duties and licensing could push trade into the grey market and spur smuggling, hurting legitimate businesses and small jewellers. “Sudden restrictions create near‑term disruption for manufacturers that rely on imported raw silver,” said an industry executive requesting anonymity.

Ground reality and public impact
On the ground in Delhi and Mumbai, dealers reported an uptick in enquiries about import licences and compliance timelines. Small and medium jewellers — many of whom operate on thin margins — said they would face working capital stress if supplies tighten. Consumers are already seeing higher retail prices after bullion runs earlier this year.

What’s next
Officials said implementation details, including licence application procedures and timelines, will be clarified in follow‑up orders. Traders and industry associations expect further consultations with the commerce ministry and customs in the coming days. Markets will be watching how the new rules affect domestic liquidity of silver and the wider jewellery supply chain.

Focus on enforcement and monitoring is likely to increase, officials added, as New Delhi balances trade deficit concerns with the needs of industry.

Government Hikes Gold, Silver Import Duty to 15% to Ease Forex Pressure

The Centre has sharply raised import duties on gold and silver to 15% from 6%, effective Wednesday, in a bid to curb overseas purchases and support the rupee, which touched a record low amid geopolitical tensions.

The decision comes days after Prime Minister Narendra Modi urged citizens to refrain from buying gold jewellery for a year in the national interest, as India grapples with widening trade deficits and pressure on foreign exchange reserves.

 Duty Structure Revised

The government has imposed a 10% Basic Customs Duty along with a 5% Agriculture Infrastructure and Development Cess (AIDC) on imports of gold and silver. This effectively doubles the earlier levy, making the metals significantly costlier for importers.

Industry sources said the move follows the reduction of duties to 6% in the 2024 budget. Officials familiar with the matter indicated it aims to moderate non-essential imports at a time when the country is the world’s second-largest consumer of gold.

 Prices Surge in Futures Market

Following the announcement, gold and silver futures on the Multi Commodity Exchange (MCX) jumped sharply. Gold prices rose by around ₹9,000-₹9,700, crossing ₹1.63 lakh per 10 grams in some contracts, while silver gained nearly ₹18,000, hovering close to ₹3 lakh per kg.

Physical market prices are also expected to reflect the higher landed costs soon, potentially affecting retail jewellery demand across the country.

Rupee Under Strain

The rupee had hit an all-time low of ₹95.50-₹95.63 against the US dollar earlier this week, weighed down by soaring oil prices linked to the US-Iran conflict and persistent foreign investor outflows.

By reducing gold and silver imports, which account for a substantial part of the import bill, the government hopes to ease pressure on reserves. In recent months, India has been importing an average of around 60 tonnes of gold monthly, contributing billions of dollars to the current account deficit.

Industry Reactions and Concerns

Bullion traders and jewellers have expressed mixed views. Surendra Mehta, National Secretary of the India Bullion and Jewellers Association, noted that the step was taken to control the current account deficit but could dampen demand given already elevated prices.

Some industry insiders in Mumbai warned that higher duties might revive smuggling networks, which had subsided after the previous reduction in levies. A private bank bullion dealer pointed out potential profit margins in unofficial channels at current price differentials.

Jewellery stocks reacted negatively on Tuesday, with shares of companies like Kalyan Jewellers, Senco Gold, Titan, and others falling between 7% and 10%.

Imports Likely to Hit Multi-Year Low

Analysts expect gold imports to drop significantly. Reports suggest April imports could touch a 30-year low, with banks already slowing shipments amid additional tax uncertainties.

India imports nearly all its gold requirements, with the annual bill running into lakhs of crores. The move is seen as part of broader efforts to promote austerity and conserve foreign exchange during uncertain global times.

Impact on Consumers and Markets

For ordinary buyers, especially ahead of the wedding season, the duty hike translates into higher prices for jewellery and coins. Local jewellers in major markets like Mumbai, Delhi, and Chennai are likely to pass on the costs, though some may absorb part of it initially to maintain sales.

The development follows PM Modi’s public appeal on May 10 and 11, where he recalled how people donated gold during crises and called for restraint in purchases for national interest. His remarks had already triggered some caution among buyers in states like Gujarat.

What Lies Ahead

Finance Ministry officials have not issued further detailed comments, but the timing suggests a coordinated policy response to external shocks. Markets will closely watch the impact on overall precious metals demand and the rupee’s trajectory in the coming days.

Whether this curbs imports effectively or pushes more activity underground remains to be seen. For now, the higher duties have immediately made gold and silver more expensive, reinforcing the government’s message of fiscal prudence amid challenging times.