Indian Silver Prices Soar as Fed Hike Looms with 92% Probability

The Indian silver market is experiencing significant fluctuations due to the impending Federal Reserve's interest rate hike. As of September 15, 2026, the price of silver in India has risen to ₹250 per gram, with a 2.04% increase from Sunday's reading. This rise can be attributed to the rupee's weakening against the dollar, which is expected to continue as the Fed raises interest rates by 92%, according to CME FedWatch.

The IBJA benchmark silver rate for 999 purity has reached ₹250 per gram, with retail buyers paying around ₹257.50 per gram inclusive of GST. The MCX December silver futures opened on Monday near ₹2,52,000 per kilogram, a modest premium above the IBJA spot rate.

The Fed's interest rate hike is expected to strengthen the dollar and weaken the rupee, which in turn will increase the cost of imported commodities, including silver. However, market participants have already priced in the 92% hike probability, making it unlikely to cause a significant sell-off on Tuesday's FOMC announcement.