Gold Price Today: Gold Prices Rise by Rs 300 in Delhi, Silver Sees Significant Drop

Introduction The Delhi bullion market experienced a day of mixed fortunes for precious metals, with gold prices witnessing an upward trend while silver saw a notable decline, while this divergence in movement highlights the complex interplay of various economic and geopolitical factors influencing the commodity market. Amidst a general uptick in the stock market, the contrasting performance of gold and silver in the bullion market presented a unique scenario for investors and consumers alike.

Delhi Spot Market: Gold's Ascent

On Monday, the price of gold in the national capital surged by Rs 300, reaching Rs 1,29,700 per 10 grams. This increase was attributed to a strong trend observed in overseas markets, which often sets the tone for domestic prices. Gold of 99. 5 percent purity also saw a similar rise of Rs 300, settling at Rs 1,29,100. This upward movement in gold prices suggests a renewed interest in the yellow metal as a safe-haven asset, potentially driven by underlying market uncertainties or inflationary concerns. The consistent rise across different purity levels indicates a broad-based demand in the spot market.

Delhi Spot Market: Silver's Sharp Decline

In stark contrast to gold's performance, silver prices experienced a significant downturn, plummeting by Rs 1,000 to reach Rs 1,63,800 per kilogram. This substantial drop for silver indicates a weakening demand, possibly due to reduced industrial consumption or a shift in investor sentiment away from the white metal. The sharp fall in silver prices, especially when juxtaposed with gold's rise, underscores the differing market dynamics. And demand-supply equations for the two precious metals, creating a clear split in the bullion market's overall health.

Global Market Performance

In the international markets, spot gold remained stable, trading at $4,077, while 35 per ounce. This stability suggests a balance between global demand and supply, despite the varied movements seen in local markets. Meanwhile, spot silver recorded a modest gain of 0. 66 percent, trading at $50. 89 per ounce. The slight increase in international silver prices stands in stark contrast to the significant. Drop witnessed in Delhi's spot market, highlighting how regional factors can diverge from global trends. This indicates that precious metal prices aren't uniform globally but are influenced by distinct factors in different geographical regions.

Recent Market Sell-off and US Fed's Stance

Praveen Singh, Commodities Head at Mirae Asset Sharekhan, commented that spot gold is currently trading stably due to a strong dollar. A strong dollar typically makes gold more expensive for holders of other currencies, which can dampen demand, while concurrently, escalating China-Japan tensions over China's comments on Taiwan are mitigating a potential decline in gold prices. Geopolitical tensions often boost gold's appeal as a safe-haven asset, as investors seek to protect their capital during times of uncertainty. The interplay of these two opposing forces – the negative impact of a strong dollar and the positive effect of geopolitical tensions – has contributed to the overall stability of international gold prices. Renisha Chainani, Head of Research at Augmont, noted that a heavy market sell-off last week led to a 2. 5 percent decline in gold prices and a 5, while 5 percent drop in silver prices. This sell-off was triggered by aggressive comments from US Federal. Reserve officials, which diminished expectations for interest rate cuts in December. When central banks signal higher or sustained interest rates, non-yielding assets like gold become less attractive to investors. Chainani further stated that the US Federal Reserve is citing a shutdown as a reason to keep interest rates unchanged in December, which is further influencing market sentiment. This situation creates uncertainty among investors and exacerbates volatility in the precious metals market.

Domestic Futures Market (MCX): A Different Picture

While spot gold prices in the Delhi bullion market saw an increase, the futures market presented a different scenario, with gold prices declining. This highlights a clear distinction between spot and futures markets, where future expectations and current supply-demand dynamics operate differently. Futures prices are often based on anticipated future values and. Speculative positions, whereas spot prices reflect immediate supply and demand. This divergence can be perplexing for investors trying to gauge the overall market direction.

MCX Gold Futures: A Downward Trend

Gold contracts set to expire on December 5, 2025, experienced a decline today. As of the time of reporting, this futures gold contract was trading down by Rs 661, settling at Rs 122900, while 00 per 10 grams. This drop in gold futures prices suggests a bearish outlook among investors regarding future prices, despite the current rise in the spot market. It indicates that while immediate demand for gold might be strong, the longer-term sentiment is. Not as solid, potentially influenced by global economic slowdown concerns or anticipated interest rate hikes.

MCX Silver Futures: Following the Spot Decline

Mirroring the trend in the spot market, silver prices also saw a decrease in the futures market. The December 5, 2025, silver contract was showing a decline. On the MCX, silver prices were trading down by Rs 1435, or approximately 0. 92 percent, at Rs 154583. 00 per kilogram. This indicates a bearish sentiment for silver in the futures market as well, with investors anticipating further price reductions in the future. This decline in silver futures could be linked to expectations of reduced industrial demand or a slowdown in economic growth. Conclusion In summary, the Indian bullion market presented a complex and contradictory picture today for gold and silver prices, while while spot gold gained, silver experienced a significant fall. Both metals saw declines in the futures market, offering a different perspective on future valuations. This situation underscores the continuous influence of global economic indicators, central bank policies, and geopolitical events on the precious metals market. Investors must closely monitor all these factors to make informed decisions in this volatile environment.