Gold Slips After Two-Day Rally, Silver Sees Sharp Correction On MCX

Gold prices slipped moderately on Thursday after a two-day surge, while silver prices recorded a sharp correction in domestic futures trading.

On the Multi Commodity Exchange (MCX), gold February futures declined by 0.98 per cent to ₹1,51,552 per 10 grams around 10:25 AM.

In contrast, MCX silver March futures plunged 8.39 per cent to ₹2,46,283 per kg on an intraday basis.

Both gold and silver had gained nearly six per cent in early morning trade but failed to sustain higher levels as selling pressure emerged.

Market participants attributed the decline to profit booking after the recent rally.

Analysts noted that markets limited the earlier fall in gold and silver prices at the start of the week as they absorbed the nomination of Kevin Warsh as the new Chairman of the US Federal Reserve.

Despite ongoing diplomatic engagement between the United States and Iran, safe-haven buying continues amid rising geopolitical tensions following reports that US forces shot down an Iranian drone.

Talks between Iran and the US are scheduled to take place on Friday.

Support for the earlier rally also came from a partial US government shutdown and profit-taking in the dollar index from recent highs.

Market watchers said the broader uptrend in COMEX gold remains intact, with the current pullback reflecting healthy price digestion rather than a trend reversal.

Gold prices are trading below key moving averages, signalling short-term downward pressure.

MCX gold has strong support in the ₹1,45,000–₹1,48,000 range, while resistance stands between ₹1,65,000 and ₹1,75,000.

Silver’s medium- to long-term outlook remains constructive due to steady industrial demand and structural supply constraints, despite heightened volatility.

Analysts see silver support in the ₹2,35,000–₹2,50,000 band, with resistance at ₹3,00,000–₹3,25,000.

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