Gold prices remained firm across the domestic bullion market on Tuesday, while silver extended its gains amid continued demand and supportive global cues.
According to the latest retail rates, 24-carat gold was priced at ₹1,42,890 per 100 grams, while 22-carat gold stood at around ₹1,30,980 per 100 grams in major Indian cities. Silver also witnessed fresh buying, with prices rising to ₹2,21,330 per kilogram, reflecting sustained investor interest in the white metal.
The rise in bullion prices comes as global investors remain cautious over geopolitical tensions, inflation concerns and uncertainty surrounding the future path of interest rates by major central banks. Gold traditionally benefits during periods of market volatility as investors seek safer investment avenues.
In major metropolitan cities such as Delhi, Mumbai, Kolkata and Chennai, gold prices remained broadly unchanged to marginally higher compared to the previous session. The variation in retail prices across cities continued to depend on local taxes, transportation costs and jewellers’ margins.
For consumers, 24-carat gold, known for its 99.9% purity, remained the preferred choice for investment purposes, while 22-carat gold, widely used for jewellery, continued to witness healthy retail demand despite elevated prices. Jewellers said festive and wedding-related purchases have remained steady, although some buyers are opting for lighter jewellery due to higher prices.
Silver continued its upward journey after witnessing strong industrial as well as investment demand. Apart from its traditional use in jewellery and silverware, the metal has gained increasing importance in sectors such as solar energy, electric vehicles and electronics. This has supported silver prices even as global economic conditions remain uncertain.
Internationally, gold prices traded close to recent highs as investors closely monitored developments in global financial markets. Expectations surrounding future policy decisions by the US Federal Reserve and other major central banks continued to influence investor sentiment. Any indication of slower interest rate cuts or persistent inflation could impact bullion prices in the coming weeks.
The movement of the US dollar also remained an important factor. A relatively softer dollar generally makes gold more attractive for overseas buyers, while fluctuations in bond yields continue to influence investment flows into precious metals.
Back home, the Multi Commodity Exchange (MCX) witnessed active trading in both gold and silver contracts. Market participants said investors continued to build positions in bullion as a hedge against global uncertainty and inflationary pressures.
Analysts believe gold is likely to remain supported in the near term as geopolitical tensions and macroeconomic uncertainties continue to drive safe-haven demand. However, they caution that short-term price movements could remain volatile depending on global economic data, central bank commentary and currency fluctuations.
Silver is also expected to remain strong due to its dual role as both a precious and industrial metal. Growing investments in clean energy infrastructure, including solar panel manufacturing, continue to provide long-term support to silver demand.
Financial planners say investors should view gold primarily as a portfolio diversifier rather than a short-term trading instrument. Maintaining an allocation of 5–10% of an investment portfolio in gold can help reduce overall risk during periods of market volatility.
Experts also advise buyers to check hallmark certification, purity levels and prevailing market prices before making jewellery purchases. Those investing for wealth creation may consider digital gold, gold exchange-traded funds (ETFs) or sovereign gold bonds, depending on their investment goals and risk appetite.
Despite trading near record levels, market experts believe demand for gold is likely to remain resilient, supported by strong domestic consumption, central bank purchases and global economic uncertainty. Silver, meanwhile, is expected to continue attracting investors on the back of improving industrial demand and favourable long-term fundamentals.
With global markets remaining volatile and inflation risks still in focus, precious metals are expected to stay on investors’ radar. Both gold and silver continue to play an important role as safe-haven assets, offering stability and portfolio diversification during uncertain times.
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