Market Update: Gold & SilverAhead of Diwali 2025, gold and silver prices saw a correction from recent record highs, offering a slight breather to investors. On Saturday and Sunday, 24-karat gold rates decreased, with silver also tumbling significantly. Despite this dip, precious metals remain top performers for the year, driven by a weak dollar, anticipated US rate cuts, and robust central bank buying. The festive Dhanteras rush, however, kept sales strong as buyers continued to invest in gold, upholding its cultural significance. Analysts project gold prices to remain firm through 2025, potentially reaching higher levels by early 2026 due to sustained demand and a weaker rupee.The recent dip in gold and silver prices ahead of Diwali 2025, while a welcome respite for buyers, masks a more significant underlying trend: a robust multi-year rally in precious metals. This minor correction, likely due to profit booking, contrasts sharply with the year-on-year surge of 62.6% for gold and 70% for silver. This remarkable strength in the bullion market is fueled by a combination of global factors like a weakening dollar, expectations of US interest rate cuts, and aggressive central bank purchasing, alongside strong domestic demand driven by cultural significance during Dhanteras. Despite the current softening, the outlook for gold prices in 2025 remains bullish, with projections hinting at further gains. This suggests that the current drop might be a strategic entry point for long-term investors looking to diversify their portfolio with gold investment, especially considering the festive demand and global economic uncertainties.
| Commodity | Latest Price (per 10g/kg) | Previous High/Change |
|---|---|---|
| 24-karat Gold (Sunday) | Rs 1,30,860 / 10gm | (Down from Rs 1,34,800) |
| 24-karat Gold (Saturday) | Rs 1,32,400 / 10gm | (Down Rs 2,400 from Friday) |
| 99.5% Purity Gold | Rs 1,31,800 / 10gm | – |
| Silver | Rs 1,70,000 / kg | (Down Rs 7,000) |
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