Gold, silver ETFs slip up to 15% amid easing geopolitical worries

At 10:33 AM, Tata Silver fell 15 per cent, Nippon Silver ETF, Mirae Asset Sharekhan, Aditya Birla Sun Life Silver ETF, and Bandhan Silver ETF slipped around 12 per cent

Gold and Silver exchange-traded funds (ETFs) declined on Thursday, January 22, 2026, as precious metals prices dropped amid easing geopolitical tensions. At 10:33 AM, Tata Silver ETF wad down 15 per cent, Nippon Silver ETF, Mirae Asset Sharekhan Silver ETF, Aditya Birla Sun Life Silver ETF, and Bandhan Silver ETF slipped around 12 per cent, and Groww Silver ETF, and Axis Silver ETF declined over 11 per cent. 

 

Meanwhile, DSP Silver ETF and ICICI Prudential Silver ETF slumped around 10 per cent.  

At around the same time, Aditya Birla Sun Life Gold ETF slipped over 10 per cent, Axis Gold ETF and Tata Gold ETF fell over 9 per cent; Nippon India ETF, LIC MF Gold ETF, and DSP Gold ETF fell over 8 per cent, and Badhan Gold ETF slipped over 7 per cent. 

 

 

The ETFs were mirroring the fall in the gold and silver prices, which saw a record rally earlier. On Multi Commodity Exchange (MCX), silver March futures were trading around 3 per cent or ₹8,397 lower at ₹3,10,095 per kg and gold February futures were trading 1.99 per cent or ₹3,049 lower to ₹1,49,813 per 10 gram. 

 

In January so far, MCX spot silver has rallied 38 per cent and gold has gained nearly 16 per cent, according to data compiled by Bloomberg.  ALSO READ | Gold can hit $7000/oz; buy the dips and hold for the long-term: Analysts

Why were precious metals under pressure?

Safe-haven assets came under pressure as geopolitical tensions eased after US President Donald Trump rolled back his threat to impose tariffs on several European countries over their stance on Greenland.

 

Trump scrapped the proposed tariffs on eight European nations after reaching what he termed a "framework for a future deal" on Greenland and Arctic security with Nato Secretary General Mark Rutte. The announcement was made on his social media platform Truth Social, shortly after he addressed the World Economic Forum (WEF) in Davos, where he said the US would not use military force to take control of Greenland.

 

According to Trump, discussions with Nato resulted in an understanding covering Greenland and the wider Arctic region, which he said would be mutually beneficial for the US and its allies. On the back of this, he confirmed that the tariffs scheduled to take effect on February 1 would not be implemented. 

Outlook  

 

Tanvi Kanchan, associate director, Anand Rathi Share and Stock Brokers believes gold and silver are in structural bull markets. She recommends staggered investing to be aggressive and disciplined. 

 

"The metals aren't going lower due to structural demand. But they won't go to $6,000 (gold) or $200 (silver) in a straight line. Staggered way of investing via an ETF will help absorb volatility and more price averaging as well, Don't deploy all capital now. Deploy in tranches of weakness," said Kanchan.

 

Meanwhile, Ravi Singh, chief research officer from Master Capital Services, reckons is best to exercise care and avoid opening large positions in gold and silver because of the volatility in the markets and risk of opening positions.

 

"The possibility of moving down is raised by seeing the volatile nature of markets and their steep movements. It is best to wait until a stable trend is seen in markets and they move in a tangible manner. Further, a prudent investor approach will be starting a monthly SIP in gold fund which allows cost averaging where fixed investments automatically purchase more units during price dips and fewer during rallies, smoothing out average costs while removing the risk of market timing," said Singh.

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