- KR Bharat
- 2026-02-02
Gold and silver prices continued their sharp decline as higher margin requirements, a stronger US dollar, rising bond yields, and policy concerns weighed heavily on investor sentiment in both domestic and global markets.
On MCX, gold February futures fell nearly 2% to around ₹1.45 lakh per 10 grams, while silver March futures plunged close to 7%, reflecting heavy profit-booking and risk-off sentiment among investors.
Analysts say the sell-off was triggered by a combination of factors — the appointment of a more aggressive US Fed Chairman, strong US economic data, rising Treasury yields, and unchanged import duties in India’s Union Budget, which weakened domestic bullion premiums.
Despite the short-term pressure, experts believe the long-term outlook for precious metals remains structurally positive, supported by safe-haven demand, central bank accumulation, industrial demand for silver, and expectations of accommodative global monetary policies.
However, investors are advised to stay cautious in the near term, as volatility, profit booking, and margin hikes continue to influence price movements.
