MCX gold opened lower at ₹1,51,557 per 10 grams, compared to its previous close of ₹1,52,862. During early trade, gold prices were down by ₹638, or 0.42%, trading around ₹1,52,224 per 10 grams.
The decline followed a sharp rally in the previous session, when MCX gold touched a fresh all-time high of ₹1,58,475 per 10 grams. Analysts attributed the pullback to profit booking after three consecutive sessions of gains.
Silver Prices Edge Higher on Domestic Exchange
In contrast to gold, MCX silver prices opened higher at ₹3,19,843 per kg, compared to the previous close of ₹3,18,492. The metal traded up by ₹1,180, or 0.37%, at around ₹3,19,672 per kg.
Silver prices also touched an intraday high of ₹3,25,602 per kg. In the previous session, MCX silver had surged to a lifetime high of ₹3,35,521 per kg before witnessing some correction.
Global Markets See Retreat From Record Levels
In the international market, gold and silver prices retreated from their record highs as easing geopolitical tensions reduced the appeal of safe-haven assets. Spot gold declined 0.8% to $4,799.79 per ounce after scaling a record peak of $4,887.82 in the previous session.
US gold futures for February delivery also fell 0.6% to $4,806.60 per ounce. Spot silver prices declined 0.9% to $92.38 per ounce after hitting a record high of $95.87 earlier in the week.
Geopolitical Developments Influence Bullion Demand
Market sentiment improved after US President Donald Trump stated that a “framework of a future deal” over Greenland had been agreed. He also withdrew threats to impose fresh tariffs on European nations, easing fears of further global trade disruptions.
The reduced geopolitical risk boosted the US dollar, which in turn made dollar-priced commodities like gold and silver more expensive for overseas buyers, putting pressure on bullion prices.
Outlook: Volatility Likely to Continue
Experts believe that gold and silver prices may remain volatile in the near term as investors track global political developments, currency movements, and interest rate expectations. While easing tensions have triggered profit booking, underlying demand for precious metals remains supported by economic uncertainty.
Investors are advised to closely monitor international cues, US dollar movement, and bond yields before taking fresh positions in the commodity market.