Daijiworld Media Network - New Delhi
New Delhi, Oct 11: The Indian bullion market continued its strong upward momentum this week, with silver leading the charge and soaring to an all-time high of Rs 1.64 lac per kilogram. Gold too posted solid gains, reflecting robust investor sentiment amid global uncertainty and festive-season demand.
According to data from the Indian Bullion and Jewellers Association (IBJA), silver prices jumped Rs 4,950 on Friday alone, closing at Rs 1,64,500/kg — up from Rs 1,59,550 the previous day. Over the week, silver surged by a staggering Rs 15,667, climbing from Rs 1,48,833/kg on Monday, driven by tight supply conditions and heightened investor interest.
Gold prices followed suit, with 24-carat gold rising Rs 2,276 over the week to settle at Rs 1,21,525 per 10 grams. However, it did retreat slightly on Friday, falling Rs 1,104 from Thursday’s record high of Rs 1,22,629 per 10 grams.
The bullish trend extended to the futures market as well. On the Multi Commodity Exchange (MCX), gold contracts for December 5 expiry closed at Rs 1,21,492 per 10 grams on Friday — up Rs 999 or 0.83% from the previous session. Silver futures for the same expiry date ended at Rs 1,46,698/kg, marking a gain of Rs 374 or 0.26%.
Analysts attribute the rally to a mix of geopolitical tensions, modest global mining output, and seasonal buying ahead of Diwali — a period traditionally associated with strong demand for precious metals in India. These factors, combined with a global shift toward safe-haven assets, have triggered a surge in bullion prices.
India’s silver exchange-traded funds (ETFs) are also trading at notable premiums compared to international benchmarks, underscoring strong domestic demand. Globally, silver investment inflows hit record levels in the first half of 2025, with around 95 million ounces added — already surpassing total inflows for the entire previous year.
Axis Mutual Fund, in its latest note, reported that global silver ETF holdings reached approximately 1.13 billion ounces by mid-2025, valued at over $40 billion — highlighting a resurgence of investor appetite for the metal amid uncertain macroeconomic conditions.
With both silver and gold maintaining firm trajectories, traders and investors are closely watching for further cues from global central banks, inflation data, and geopolitical developments that could shape the next leg of the bullion rally.