Gold, Silver outlook for 2026: Precious metals brace for consolidation

After a record rally in 2025, will gold and silver sustain gains in 2026? Analysts flag consolidation, price targets, risks and investor strategy

Gold, Silver outlook 2026

  Precious metals -- gold and silver -- shattered multiple lifetime highs in calendar year 2025, making them the star performers of the investment world this year. Silver price has skyrocketed a whopping 174 per cent till December 26, 2025, while gold price has rallied 72.7 per cent in the international market. 

Back home, MCX Silver has jumped 165.2 per cent, and MCX Gold 81.1 per cent during the period.

  However, as investors look toward 2026, wondering if the "generational" rally will sustain its momentum in the new year, analysts say it may be prudent to temper the return expectations.

 

Gold, Silver rally in 2025

Gold and silver price surged to record levels in 2025 as investors sought refuge amid a volatile macroeconomic backdrop. 

Persistent geopolitical tensions, elevated government debt, concerns over fiscal discipline in major economies (especially the US), and a sharp rise in central bank gold purchases combined to create a powerful tailwind for gold. For Silver, macro risks, combined with its growing importance in clean energy, electronics and electric vehicle supply chains, resulted in outsized gains in 2025.  ALSO READ | Silver retreats from $80/ounce peak, Gold softens on profit-taking  According to Jateen Trivedi, VP (Research Analyst – Commodity and Currency) at LKP Securities, the precious metal rally this year was the result of a rare alignment of long-term forces rather than a cyclical spike.

 

"The current bull run has been driven by a convergence of macroeconomic stress, aggressive central bank buying, rising global debt, prolonged geopolitical instability, and de-dollarisation by several emerging economies. Many of these factors are structural and likely to remain relevant through 2026," he said.

Gold, Silver price outlook

At a broader level, analysts expect the bull run in gold and silver to continue in 2026, though volatility may remain the feature of the market.

  Short-term consolidation, they said, are "natural" after such a dramatic rally in 2025, but the fundamental backdrop continues to favour gold and silver heading into 2026 and beyond. 

Individually, Jateen Trivedi of LKP Securities sees gold's trading zone shifting higher over the next 12–18 months, with prices potentially gravitating towards ₹1,50,000 per 10 grams. 

He cautioned that though near-term volatility is inevitable, strong central bank accumulation and currency weakness across emerging markets should provide a solid floor.  ALSO READ | Gold outperformed everything in 2025: What investors should expect in 2026 

"Any meaningful correction is likely to be shallow and should be viewed as a long-term accumulation opportunity rather than a trend reversal," he said.

  Those at Kotak Securities, and UBS, too, believe gold is entering a "higher-for-longer" regime, and may scale $5,000 over the next year. 

"Ongoing currency debasement risks and diversification away from fiat assets support sustained strategic gold buying by investors and central banks. Meanwhile, the US Fed's longer-term path continues to lean toward easing as labour-market softness and slowing nominal growth re-emerge, supporting positive trend in gold," Kotak Securities analysts said in a note.

Silver to extend its 'golden' run

Alike CY-2025, analysts forecast that silver may continue its outperformance over gold in 2026 as the white metal benefits from an easing monetary policy globally. 

Industrial demand, too, is likely to recover led by double-digit growth in photovoltaic deployment, a rapid build-out of EV charging networks, improving battery technologies, and widening semiconductor applications, Kotak Securities noted. 

  In this backdrop, the brokerage projects silver to trade in a broad range of $48 and $70 per ounce, with potential spikes toward $75 under "conditions of aggressive monetary easing or stronger-than-expected industrial consumption".  ALSO READ | Silver prices can rally 20% to Rs 240,000/kg in 2026: Axis Securities 

Axis Securities, however, pointed out that silver prices exceeding $60/oz may begin to trigger demand destruction or thrifting/substitution in the industrial sector.

  "Nonetheless, a sustained monthly close above $67 could trigger a multi-year uptrend targeting $76–$80. While consolidation may occur near resistance around $65, the bias will remain positive as long as $50 level is intact on the downside," it said. 

In the domestic market, any correction down to the ₹1,70,000-1,78,000 range can be used for staggered accumulation, with the target of around ₹2,40,000 for 2026.

  Trivedi of LKP Securities projects silver prices to move towards ₹2,25,000–₹2,50,000 per kilogram in 2026.

Risks remain

That said, the path ahead is unlikely to be smooth. A sharp rise in real interest rates, a stronger US dollar, or a broad "risk-on" shift in global markets could temporarily cool demand for precious metals, cautioned analysts at InCred Money. 

Thus as long as global debt levels remain high, real rates stay subdued, and central banks continue to diversify reserves, gold and silver are expected to retain their strategic appeal into 2026 - albeit with higher volatility and more selective entry points.