Gold Prices Slip Below Rs 1.23 Lakh Mark, Silver Also Sees Decline

Gold prices in India continued to dip this week, slipping below Rs 1.23 lakh per 10 grams, as global trends and investor sentiment turned cautious. Silver too followed the downward trajectory, reflecting the impact of changing international cues and domestic market adjustments. Analysts suggest that the fall may offer a temporary breather for buyers ahead of the festive and wedding seasons.

The recent decline is largely attributed to easing geopolitical tensions and a stronger US dollar, which have reduced gold’s appeal as a safe-haven asset. In India, retail demand has remained moderate, with many consumers waiting for prices to stabilize before making bulk purchases. However, traders believe the upcoming Diwali and wedding season could bring a rebound in demand, particularly from Tier 2 and Tier 3 cities where gold remains a traditional investment.

Silver prices have also softened in the commodities market, primarily due to reduced industrial demand and global metal price corrections. Despite this, experts point out that silver’s long-term prospects remain positive, driven by its growing use in clean energy technologies and electric vehicles.

For Indian households, especially in smaller towns, the current dip in gold and silver prices may present a short window to invest before rates rise again. Many financial advisors recommend keeping an eye on international economic indicators, as fluctuations in inflation, interest rates, and global trade could directly affect precious metal prices in the coming weeks.

In the near term, gold may continue to trade within a narrow range, with minor ups and downs depending on global signals. For long-term investors, though, precious metals continue to hold their place as a reliable hedge against uncertainty and inflation.