Gold and silver prices saw a small decline on Monday after a sharp rally in recent weeks, offering slight relief to buyers amid record-high rates. In the domestic market, 24-carat gold slipped ₹10 to ₹1,52,340 per 10 grams, while silver prices fell ₹100 to ₹2,74,900 per kilogram.
Despite the minor dip, prices continue to remain near historic highs as global tensions and inflation fears keep investors interested in safe-haven assets like gold and silver. Analysts say uncertainty surrounding the US-Iran talks and rising crude oil prices are continuing to influence precious metal markets worldwide.
Higher oil prices have increased concerns that inflation could stay elevated for longer, reducing hopes of early interest rate cuts by major central banks. This has kept gold prices supported even as the market witnessed mild profit booking on Monday.
In India, bullion demand has also come into focus after Prime Minister Narendra Modi recently urged citizens to avoid unnecessary gold purchases for a year. The appeal is aimed at reducing pressure on the country’s import bill and foreign exchange reserves, as India imports a large portion of the gold it consumes.
However, jewellers believe demand linked to weddings and festivals is unlikely to slow significantly. Gold continues to hold emotional and cultural importance for Indian families, especially during marriage seasons where jewellery purchases remain customary.
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