Gold and Silver Prices Rebound in India on Geopolitical Uncertainty and Weaker Dollar
Gold and silver prices have rebounded in India after a brief correction earlier. The current rise is attributed to renewed geopolitical uncertainty, a weaker US dollar, and reduced expectations of Federal Reserve interest rates. Retail gold prices have surpassed ₹1.54 lakh per 10 grams for 24K gold in major cities, while 999-fine silver is trading around ₹2.37 lakh per kilogram.
The latest price movement has been supported by the US dollar's weakness and lower expectations of interest-rate tightening. Spot gold rose approximately 0.4% to $4,391 per ounce, while US gold futures also moved higher. Geopolitical uncertainty is another factor keeping investors interested in safe-haven assets like gold.
Silver prices are following the broader precious-metals rally and have an additional advantage due to significant industrial demand. The metal is used in electronics, solar technology, and manufacturing applications, influencing its price through both investment demand and expectations for industrial consumption.