Silver price on January 29: Blast past Rs 4 lakh per kilo for the first time amid heightened volatility

Silver price today

• Global silver price rose 3.48 percent to $117 per ounce on January 29
• US Fed kept rates unchanged, boosting silver's safe-haven demand
• Geopolitical tensions and tariffs drive silver prices higher

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Silver surged to a new high of $119 an ounce on January 29 morning after the US Federal Reserve held interest rates steady.

It climbed down from the new peak to trade at $117 on Comex, up 3.48 percent from the previous day, as the American central bank held the benchmark interest rate in the 3.50 percent-3.75 percent range.

On MCX, the metal surged past Rs 4-lakh-mark per kilogram on January 29 for the first time, and continued to hover at Rs 4,02,792 per kilogram (9:44 am IST), up 4.52 percent from its previous close.

The Indian Bullion Jewellers Association (IBJA) pegged the silver price at Rs 3,58,267 on January 28,  around 4 percent higher than the previous price.

City-wise silver prices 

Silver rates across India’s major cities showed remarkable uniformity, with only marginal differences due to local taxes, jeweller margins, and logistics costs.

Here is how a kilogram of silver has moved.

Why is silver up?

Geopolitical and renewed tariff tensions have been a key trigger. US President Donald Trump warned of 100 percent tariff against Canada over a potential trade deal with China and raised tariffs on South Korean autos, pharmaceuticals and lumber to 25 percent, reinforcing safe-haven demand.

"Policy uncertainty around growth, trade, and fiscal sustainability tends to pressure the USD, increasing volatility expectations. If this environment continues, gold and silver benefit as a softer or range-bound USD would support precious metals. Also, heightened uncertainty boosts safe-haven demand as investors seek assets less exposed to policy error or fiscal strain," said Ross Maxwell, Global Strategy Operations Lead, VT Markets.

The Augmont Bullion report, published on January 28, said, "A fresh wave of first-time investors, especially across Asia and Europe, is aggressively building personal holdings of gold and silver, adding structural support to prices."