Gold and Silver Prices Plunge in India: February Update
On February 2, 2026, the Indian market witnessed a notable decline in gold and silver prices, creating ripples among investors. Gold fell by 3%, while silver prices crashed by 6%. The price fluctuations are particularly concerning for those who invest in these precious metals, as they are often seen as safe havens during economic uncertainty.
In Delhi, the price of 24-carat gold was recorded at ₹16,073 per gram, whereas silver was priced at ₹350 per gram. Prices varied across different cities, reflecting local market conditions. For instance, in Chennai, 24-carat gold was priced at ₹16,255 per gram. Such variations can impact purchasing decisions, especially for consumers planning to buy for weddings or festivals.
The recent price drops are attributed to a stronger dollar and reactions to the U.S. Budget presentation. Investors are closely monitoring international trends, as the prices of gold and silver are influenced by global market movements. A stronger dollar typically leads to lower prices for these metals, as they become more expensive for buyers using other currencies.
Furthermore, the Union Budget 2026 has kept customs duties on gold and silver imports unchanged, which may provide some stability in the market. Currently, gold imports attract a 6% duty, while silver imports face the same rate for eligible Indian residents. These factors contribute to the overall pricing structure, impacting both investors and consumers.
As the market continues to experience volatility, it's essential for investors to stay updated on price changes. The recent fluctuations have shown how quickly gold and silver prices can shift, creating both opportunities and risks for those looking to invest. With the recent downturn in prices, many are wondering what the future holds for these precious metals in India.
In conclusion, the declines in gold and silver prices on February 2, 2026, serve as a reminder of the dynamic nature of commodity markets. Investors must remain vigilant and informed to navigate these changes effectively.
