Gold and silver prices moved higher in the domestic market on Monday, November 9, as precious metals extended their recovery following a strong performance last week. Investors continued to seek safe-haven assets amid global economic uncertainty, while softer crude oil prices eased concerns about inflation.
The latest rise comes after considerable volatility in the bullion market over the past few weeks. Both metals had witnessed sharp corrections from their record highs before recovering as investors returned to precious metals at lower price levels.
In the domestic futures market, December gold contracts on the Multi Commodity Exchange (MCX) were trading 0.88% higher at ₹1,44,300 per 10 grams around 9.13 am. Silver futures also gained, rising approximately 1.78% to ₹1,88,990 per kg.
In the retail market, 24-carat gold was priced at ₹1,43,910 per 10 grams in Delhi and ₹1,44,160 in Mumbai. The price stood at ₹1,44,270 in Bengaluru and ₹1,43,970 in Kolkata.
The 22-carat gold rate was ₹1,31,918 per 10 grams in Delhi, while Mumbai recorded ₹1,32,147. In Bengaluru, the price was ₹1,32,248, compared with ₹1,31,973 in Kolkata.
Silver prices also remained elevated across major cities. The rate of 999-purity silver stood at ₹1,88,370 per kg in Delhi, ₹1,88,700 in Mumbai, ₹1,88,850 in Bengaluru and ₹1,88,450 in Kolkata. Chennai recorded a higher silver rate of ₹1,89,470 per kg.
These retail rates may vary between jewellers depending on local taxes, transportation costs and other charges. Making charges and applicable taxes can also increase the final purchase price of jewellery.
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The latest recovery follows a positive week for precious metals. Gold futures gained approximately 4.5% in the international market during the previous week, while silver advanced around 5.4%.
On the MCX, December gold futures increased by ₹3,682, or nearly 3%, over the week to settle around ₹1.42 lakh per 10 grams. Silver futures gained ₹5,655, or 3.15%, to close at approximately ₹1.84 lakh per kg.
The recovery came after both metals experienced selling pressure towards the end of October. Bargain buying and short-covering helped prices regain some ground, although analysts expect volatility to continue.
In the international market, gold prices climbed more than 1% on Monday, while silver advanced around 2.8%. Softer crude oil prices helped support bullion by easing concerns that inflation could remain elevated for an extended period.
Gold traditionally attracts investors during periods of geopolitical uncertainty and financial market volatility. Silver also benefits from investment demand, although its prices are influenced by industrial consumption in sectors such as electronics, solar energy and manufacturing.
One of the major factors supporting gold and silver prices is the changing outlook for global interest rates. Investors are closely watching economic data from the United States and comments from the US Federal Reserve to understand its next policy move.
Stronger-than-expected US employment figures have raised expectations that the Federal Reserve could maintain higher interest rates for longer or consider another rate increase in December. Higher interest rates generally reduce the appeal of gold because the metal does not generate regular interest income.
However, softer crude oil prices have provided some relief to bullion. Lower oil prices can reduce inflationary pressures and ease expectations of prolonged high interest rates, making gold more attractive to investors.
Developments in the US-Iran conflict are another important factor. Any escalation in geopolitical tensions could increase demand for safe-haven investments, while progress in peace negotiations could reduce the urgency among investors to hold precious metals.
Central bank purchases have also remained an important source of support for gold. Several central banks, including the Reserve Bank of India, have increased their gold holdings in recent years as part of efforts to diversify their reserves.
The coming week could be important for gold and silver prices as investors await fresh inflation figures and updates on monetary policy.
The US consumer inflation report, scheduled for November 10, will be closely watched for clues about the Federal Reserve’s interest rate decisions. Inflation figures from China, Germany, Japan and India will also provide indications of broader economic conditions.
India’s October retail inflation data, expected on November 12, will be another important development for domestic investors.
Any indication that inflation remains persistent could strengthen expectations of higher interest rates, potentially putting pressure on precious metals. Conversely, softer inflation figures could support gold and silver by improving expectations of monetary easing.
Investors will also monitor movements in the rupee, as India imports a significant portion of its gold and silver requirements. Changes in the domestic currency can influence local bullion prices even when international rates remain relatively stable.
Despite the recent recovery, analysts expect both precious metals to remain volatile in the near term. The strong gains recorded last week have improved sentiment, but uncertainty surrounding interest rates and geopolitical developments could trigger further price fluctuations.
For jewellery buyers, the latest increase means that gold and silver purchases may continue to remain expensive. Those planning purchases should compare prices across jewellers and account for purity, making charges and applicable taxes before making a decision.
Investors, meanwhile, are likely to track international bullion movements, central bank demand and economic data before taking fresh positions.
The broader outlook for gold and silver remains influenced by their safe-haven appeal, investment demand and global economic uncertainty. However, the direction of interest rates and inflation will be crucial in determining whether the current recovery can continue.