A sharp decline has been seen in the gold and silver market today i.e. on January 30. During morning trade, both gold and silver prices witnessed huge fluctuations due to profit booking pressure. Both silver and gold opened with sharp losses on the Multi Commodity Exchange (MCX), creating jitters among investors.
There was a big fall in silver prices on MCX during morning trading. Due to profit booking, silver fell to around Rs 67 thousand, which is said to be a decline of about 17% in percentage terms. After this, the price of 1 kg silver fell to Rs 3.32 lakh. However, after the initial shock, there was some recovery. Till the time of writing the news, silver was trading at the level of Rs 3.51 lakh per kg with a fall of about 12%.
Talking about gold, a sharp decline was also recorded on MCX. In the morning trade, gold fell by about Rs 15 thousand, which is considered to be a fall of about 9%. After this fall, the price of 10 grams of gold had fallen to Rs 1.54 lakh. However, later there was a partial improvement in gold and it was seen trading at the level of Rs 1.64 lakh per 10 grams with a fall of about 3%.
Not only the futures market, but also the exchange traded funds (ETFs) related to gold and silver witnessed a huge decline today. According to market sources, gold and silver ETFs have seen a decline of up to 23%, which has dealt a big blow to investors. Experts believe that after the recent rally, investors started booking profits, due to which this sharp decline was seen.
A huge softening in the prices of precious metals has also been recorded in the bullion market. In the local markets, silver has become cheaper by Rs 40,638 per kg, while the price of gold has fallen by Rs 9,545 per 10 grams. Due to this, the eyes of both jewelers and customers are fixed on the market.
According to India Bullion and Jewelers Association (IBJA), on January 30, the price of one kg silver has come down to Rs 3,39,350. At the same time, the price of 24 carat gold has also fallen to Rs 1,65,795 per 10 grams.
Market experts say that due to global cues, strengthening dollar and profit booking by investors, there may remain pressure on gold and silver prices. However, for long-term investors this decline can also prove to be a buying opportunity. In the coming days, all eyes will be on the international market and economic indicators.
