Gold prices in India slipped from lifetime highs hit earlier this week, easing the frenzy without dampening demand. Investors continue to
track every move closely, viewing corrections as potential entry points rather than trend reversals.
MCX Gold (February Futures):
Trading near ₹1.69 lakh per 10 grams, after touching an intraday lifetime high of around ₹1.80 lakh on January 29.
MCX Silver (March Futures):
Softened slightly from ₹4.08 lakh per kg to around ₹4.05 lakh, still significantly higher than early January levels.
While gold saw a sharper correction, silver’s pullback has been relatively mild, reflecting strong momentum and continued investor interest.
The cooling trend is not limited to India. Global bullion markets are showing a similar pattern:
Silver prices, which touched levels close to $120 per ounce, have also eased as traders booked profits.
India’s heavy reliance on imported bullion magnifies every move in gold and silver prices:
Nearly 100% of gold consumption is imported
Over 80% of silver demand is met through imports
Rising bullion imports contributed significantly to foreign exchange outflows last year, widening the trade deficit and adding pressure on the rupee, which recently hit record lows. These macro factors could play a key role in shaping bullion prices after the Budget.
High prices have begun to impact jewellery demand, but investment demand is accelerating sharply.
Gold ETF assets nearly tripled in 2025, with net inflows estimated at over ₹400 billion, as investors sought safety amid volatile and underperforming equity markets.
Silver ETFs have grown even faster, attracting investors looking for higher momentum beyond gold.
This shift highlights a structural change in how Indian investors approach precious metals—not just as ornaments, but as strategic financial assets.
The February 1 Union Budget could be a decisive catalyst. Any announcement related to:
Import duty adjustments
Currency stability measures
Fiscal discipline and inflation control
may influence bullion prices sharply when markets reopen.
For investors who missed the initial rally, Budget-led volatility could offer fresh entry opportunities, especially if prices correct further in the short term.
Expect high volatility around Budget announcements
Avoid lump-sum investments at elevated levels
Align bullion exposure with long-term portfolio goals
Gold and silver continue to act as hedges against uncertainty, but timing and discipline remain crucial.
Commodity and stock market investments are subject to market risks. Past performance is not indicative of future results.
For expert insights on Budget 2026, agriculture reforms, and market impact, connect with us:
Phone / WhatsApp: +91 83490-46664
Email: support@stockemphasis.com
Website: https://stockemphasis.com/blogs/
Instagram: https://www.instagram.com/stockemphasis/
Facebook: https://www.facebook.com/stockemphasis/
Stock Emphasis
Stock Emphasis
Stock Emphasis
Stock Emphasis
Stock Emphasis
Stock Emphasis
Stock Emphasis
Stock Emphasis
Stock Emphasis
SEBI Registration Number: INH000020022.