Analyst predicts that the right time to buy the metal is when the price stables over support levels.
The focus has shifted to the US Fed’s policy at the end of January and the Union Budget on February 1, both of which could influence volatility and currency movement, says analyst.
Bullion climbed to an all-time above $4,960 in early trading and is on track for a weekly gain of more than 7%, while silver also hit a record. A key gauge of the US currency’s strength is down 0.8% so far this week.
The sharper fall in silver ETFs compared to silver futures on MCX is largely a function of how Indian silver had moved into a speculative premium ahead of the Budget, an analyst said.
Silver price has fallen significantly as investors rushed to book profits amid renewed stance of the the US President Donald Trump on Greenland and tariff threats.
Gold ETFs also staged a partial recovery, with today’s top loser Birla Sun Life Gold ETF recovering around 6% from its day’s low.
Silver price continues to surge as Trump’s Greenland remarks and tariff threat against eight European nations heightened trade-war fears, triggering a getaway to safe-haven assets.
Hindustan Zinc shares tumbled 6% today amid the sharp fall in silver prices.
Rising geopolitical tensions on multiple fronts have fuelled a flight to safety, boosting demand for bullion as a hedge against uncertainty and dollar swings
China has had a licensing regime in place for silver since 2019.
Bullion fell as much as 1.1% in early trading, pulling back after three days of gains that had taken it to an all-time high above $4,888 an ounce on Wednesday
A short squeeze last October showed how local supply constraints can quickly go global, especially for a less-liquid metal like silver
Silver price continues to surge as Trump’s Greenland remarks and tariff threat against eight European nations heightened trade-war fears, triggering a getaway to safe-haven assets.
Globally stock markets are down and the flight to the safety of gold is up as there is a risk-off sentiment in response to Trump’s Greenland policy, the threatened tariffs on eight European countries and Europe’s hardening anti-Trump stance.
Silver price continues to surge as Trump’s Greenland remarks and tariff threat against eight European nations heightened trade-war fears, triggering a getaway to safe-haven assets.
Trump’s new tariffs, including a 10 percent EU levy, have revived trade worries and clouded the US-India trade deal, while renewed Greenland tensions have further lifted safe-haven demand.
The future contracts with April and June expiries meanwhile surged around 5% each to hit new all-time highs of Rs 1,58,200 per 10 grams and Rs 1,62,299 per 10 grams respectively.
Markets are waiting for Europe’s response to Trump’s threat to impose tariffs on eight European nations that oppose his Greenland ambitions
For those looking at fresh investment, the main risk right now is valuation and sentiment, an analyst said.
Gold continues to remain a preferred allocation, with any minor profit booking being viewed as a buying opportunity, says analyst.
Silver continues to attract strong speculative interest from both buyers and sellers, leading to sharp and erratic price swings, says analyst.
The precious metals edged lower, after rising sharply in the previous session following Trump’s pledge to put tariffs on eight European nations that opposed his Greenland ambitions.
In a historic milestone, silver topped Rs 3 lakh per kg, driven by rising safe-haven demand amid geopolitical tensions and global macro uncertainty.
Frenzied buying across multiple metals in China has stoked the gains in recent weeks, while the debasement trade, where investors avoid traditional financial assets, is also helping
Gold continues to attract premium safe-haven demand as an alternative to the dollar.