Gold Prices Slip 8 Per Cent On MCX On Profit-Booking, Silver Crashes More Than 16 Per Cent

Silver prices crashed in domestic markets after rising for over a week in a broader pullback from precious metals. Gold prices tumbled after rising for two straight weeks on December 30, 2026, as investors looked to book profits. In global markets, the fall in gold and silver prices wiped out over $3 trillion on January 29, 2026, and the fall extended to domestic markets as well. Analysts said that the sudden fall in prices was triggered by a stronger dollar, coupled with speculative trading.

On the Multi Commodity Exchange (MCX), gold futures for April 2026 in early trade were trading at Rs. 1.80 lakh for 10 grams, down over 3 per cent from the previous close. Meanwhile, silver futures for March 2026 during the same time were trading at Rs. 3.84 lakh per kg, down 7.70 per cent from the previous close.

The fall, which was triggered by an overall pullback from precious metals, led to wider losses in silver than gold, with gold being the safe-haven assets and an overall smaller market capitalisation in silver. Currently, silver prices were trading nearly 17 per cent down below Rs. 4 lakh per kg, and gold down over 8 per cent, trading at Rs. 1.84 lakh for 10 grams on the MCX.

The sudden fall in global markets led some investors to speculate whether the fall was natural or a kind of manipulation. Some market participants also pointed out to increasing demand from crypto investors and exchange-traded funds (ETFs), which also likely added to the volatility in the market. Analysts said that the volatility came as investors looked to book profits as both gold and silver prices have shown a sharp surge.

Despite the fall, gold is on track to see the best month since 1980, rising more than 24 per cent so far in January 2026. However silver, which was earlier on track to have risen over 60 per cent in a month, is now seeing only 37 per cent rise from a month ago owing to the fall on January 30.

Prices of precious metals also eased as the dollar edged higher after the US Federal Reserve decided to keep interest rates unchanged. Fed Chair Jerome Powell said after the monetary policy meeting that US inflation in December 2025 likely remained well above the Fed’s 2 per cent target.

Meanwhile, US President Donald Trump has said he was weighing out options against Iran, including targeted air strikes on security forces and leaders to encourage protestors. Closer home, Trump is also expected to name Powell’s successor on January 30, 2026.

Analysts expect volatility to continue in the markets, and have advised retail investors to be on a wait-and-watch mode. While gold still has a further scope of a rally, analysts see the surge in silver prices has neared its end.

“For retail investors, a weekly weak close is needed, which means today, too, gold and silver should close with a significant fall. It seems a bit difficult, but three back-to-back sessions of a downtrend is needed to confirm weakness in the counter,” said Jigar Trivedi, senior research analyst, IndusInd Securities (formerly Reliance Securities).