Silver soars Rs 6,800; gold falls Rs 2,000 in Delhi

Silver prices surged sharply by Rs 6,800 to Rs 2.49 lakh per kilogram in the national capital on Monday due to strong buying interest from jewellers and stockists despite pressure in overseas trade.

However, gold of 99.9 per cent purity declined by Rs 2,000, or 1.3 per cent, to Rs 1,52,800 per 10 grams (inclusive of all taxes) from Thursday’s closing level of Rs 1,54,800 per 10 grams, as per the All India Sarafa Association.

“Gold declined in a thin trading session on Monday as markets continued to assess the impact of elevated energy prices and ongoing uncertainty around US-Iran negotiations,” Saumil Gandhi, Senior Analyst – Commodities at HDFC Securities, said.

Rising oil prices have reinforced expectations that interest rates may remain higher for longer, with the possibility of further tightening later in the year, he added.

“This outlook has supported both the US dollar and Treasury yields, which moved higher during the session, acting as headwinds for precious metals,” Gandhi said.

According to the association, silver prices jumped Rs 6,800, or 2.8 per cent, to Rs 2,49,500 per kg (inclusive of all taxes). The white metal had finished at Rs 2,42,700 per kg in the previous session.

Globally, spot silver fell 2.55 per cent to USD 73.43 per ounce while gold slipped USD 49.27, or 1.07 per cent, to USD 4,565.68 per ounce.

Spot gold is trading lower and hovered around USD 4,560 per ounce as crude oil prices climbed amid lingering uncertainty in the Strait of Hormuz, Praveen Singh, Head of commodities at Mirae Asset ShareKhan, said.

Oil initially eased after US President Donald Trump announced “Project Freedom” to support vessel movement through the Strait, but lack of clarity on the plan prompted renewed buying in crude, he added.

Meanwhile, a senior Iranian lawmaker described US involvement in the Strait of Hormuz as a violation of a fragile ceasefire, keeping geopolitical tensions elevated and market participants on edge, Singh said.