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.

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 May Turn Cheaper After Budget 2026

Buying gold and silver could soon become easier on the pocket. Ahead of the Union Budget 2026, scheduled for February 1, the government is considering a reduction in customs duty on gold and silver from 6% to 4%. If announced, gold prices may drop by nearly ₹3,000 per 10 grams, while silver prices could decline by around ₹6,000 per kilogram.

At present, in January 2026, 24-carat gold is trading at around ₹1,68,475 per 10 grams, while silver is priced at approximately ₹3,57,163 per kg. A duty cut could bring short-term relief to consumers and investors amid record-high commodity prices.

Why Gold and Silver Prices Rose Sharply in 2025

Gold and silver delivered exceptional returns last year. In 2025, gold prices surged nearly 75%, while silver jumped a massive 167%. Experts point to multiple global and domestic factors behind this rally:

 Global tensions and wars: Rising geopolitical risks pushed investors towards gold as a safe-haven asset.

 Weak US dollar: Rate cuts by the US Federal Reserve weakened the dollar, making dollar-priced commodities like gold and silver more attractive.

 Central bank buying: Global central banks crossed 32,140 tonnes of gold reserves by December 2025, supporting prices.

 Industrial demand for silver: Over 50% of silver is used in solar panels, EV batteries and semiconductor chips.

 Limited mining supply: Demand rose faster than supply, creating a shortage.

Will Budget 2026 Duty Cut Impact Gold Prices?

Currently, gold attracts a total tax of about 9%, including import duty and GST. According to experts, reducing the import duty on gold could help curb smuggling and narrow the gap between international and domestic prices. In the July 2024 budget, a similar duty cut boosted jewellery demand by nearly 10%.

However, analysts caution that the impact may be temporary. International market trends play a bigger role in determining long-term gold prices.

Should You Invest in Gold and Silver Now?

Market experts advise investors not to rush into bulk purchases before the budget. Naveen Mathur of Anand Rathi suggests a “buy-on-dips” strategy, while Motilal Oswal’s Navneet Damani expects high volatility in early 2026 but remains positive on the long-term outlook.

Two popular ways to invest:

 Physical gold and silver: Coins and bars from trusted sellers.

 Gold and Silver ETFs: Safer, digital options with guaranteed purity.

Why This Matters Right Now

With Budget 2026 around the corner and commodity markets at elevated levels, any policy move can directly impact household savings, jewellery demand and green energy manufacturing. A duty cut could offer short-term relief and boost consumption.

Interestingly, Indian households hold nearly 34,600 tonnes of gold—worth about ₹348 lakh crore—highlighting the metal’s deep cultural and financial significance.

Bottom line: Keep an eye on Budget 2026 announcements, track global cues, and invest in gold and silver gradually rather than all at once.