Gold prices edged higher in Indian commodity markets while silver witnessed a significant fall as rising oil prices and growing inflation concerns affected investor sentiment. Expectations of higher interest rates also put pressure on precious metals.
Gold Records a Modest Gain
On the Multi Commodity Exchange (MCX), December 2026 gold futures increased by ₹54 to reach ₹1,36,279 per 10 grams. International spot gold also recovered slightly, rising 0.2% to $3,883.05 per ounce after experiencing a sharp decline in the previous trading session.
Silver Falls More Than 3%
Silver faced stronger selling pressure in the domestic market. December 2026 silver futures dropped by ₹5,677 to ₹1,78,848 per kilogram, marking a decline of more than 3%.
Inflation Concerns Influence Precious Metals
India’s retail inflation increased to 6.09% in October, crossing the Reserve Bank of India’s upper tolerance limit of 6%. Rising oil prices and concerns about further interest rate increases have added uncertainty to the precious metals market.
Investors are now closely watching upcoming inflation data from the United States, which could influence global interest rate expectations and the direction of gold and silver prices.
