Gold Steady in India as Silver Crashes Amid Fed Rate Hike Concerns

Gold prices in India showed stability at the start of the week, despite international rates hovering around $4,160 per ounce. On October 5, 2026, the domestic market saw 24K gold priced at ₹14,918 per gram, 22K at ₹13,675 per gram, and 18K at ₹11,189 per gram. Delhi prices were slightly higher, with 24K gold at ₹14,933 per gram, 22K at ₹13,690 per gram, and 18K at ₹11,204 per gram. The international spot price was approximately $4,160 per ounce, with US gold futures trading at $4,188.70, reflecting conflicting trends influenced by US interest rate expectations and the strength of the dollar.

Silver prices in India experienced a significant drop, falling by ₹5,000, with the metal quoted at ₹235 per gram or ₹2,35,000 per kilogram. The MCX gold price was ₹1,47,391 per 10 grams at 12:30 pm, showing a depreciation of 0.32%, while MCX silver appreciated by 0.56% to ₹2,27,150 per kg. The price disparity between domestic and international markets highlights the importance of comparing quotations before making purchases.

Analysts predict that gold's short-term movement will depend on US interest rate expectations and the dollar's strength. Weaker economic data in the US could favor gold, while a stronger dollar might cap its appreciation. Geopolitical factors and government debt issues are also positive influences. Silver is expected to be more volatile due to its industrial applications in sectors like electronics, solar power, and automobiles.

For buyers, it is crucial to check the purity of gold, compare making charges, and consider the total cost, including GST. Jewellery prices are not the same as bullion prices, and investors should avoid treating a single day's price as a guaranteed entry point. A staggered buying approach can help mitigate the risk of committing the entire amount at one price.