Silver prices top ₹2 lakh/kg in spot and futures markets; gold joins rally

Silver prices reached unprecedented levels across domestic and international markets on Wednesday. Both spot and futures prices in India decisively breached the ₹2 lakh per kg threshold. Gold, meanwhile, also joined the rally, extending its own record-breaking run.

 

On the Multi Commodity Exchange (MCX), silver futures for March delivery touched an all-time high of ₹2,06,111 per kg during Wednesday’s session. The surge was mirrored overseas, where silver futures on the Comex climbed to a record $66.65 per ounce

 

Data from the India Bullion and Jewellers Association (IBJA) showed spot silver opening at a new high of ₹2,00,750 per kg. Prices later eased marginally from the intraday peak to settle at ₹1,99,641 per kg, still the highest closing level recorded in the domestic spot market. Gold also scaled fresh heights, touching ₹1,35,496 per 10 grams on the MCX.

 

In the physical market, the rally was equally pronounced. V K Goyal, a Delhi-based bullion dealer, said spot silver prices in the city’s bullion market crossed ₹2 lakh per kg for the first time, excluding GST. Including GST, prices peaked at around ₹2,06,200 per kg.

 

According to Anuj Gupta, director and currency-commodity analyst at Ya Wealth Research, the sharp upswing in gold and silver prices is being driven by a combination of slowdown signs in the US economy, a weakening rupee and heightened demand for safe-haven assets. He added that silver’s recent outperformance relative to gold reflects a shortage in the physical market. In the near term, silver prices could climb to ₹2.20 lakh per kg, while over the longer term they are expected to surpass ₹3 lakh per kg within two to three years.