New Delhi, October 31: Silver prices plunged ₹8,300 to ₹1,90,200 per kilogram in Delhi, hitting their lowest level in nearly 11 months as a sharp global sell-off weighed on precious metals.
Gold also witnessed selling pressure, with prices declining ₹1,300 amid inflation concerns and expectations of tighter US monetary policy.
Silver Prices Crash
According to the All India Sarafa Association, silver fell ₹8,300 from Thursday’s closing price of ₹1,98,500 per kg to ₹1,90,200 per kg.
The white metal was last trading near these levels on December 10, 2025, when prices stood at ₹1.92 lakh per kilogram.
Gold of 99.9% purity declined to ₹1,45,200 per 10 grams from ₹1,46,500, inclusive of taxes.
Global Markets Tumble
International silver prices dropped $3.10, or 6%, to $49.06 per ounce, slipping below the crucial $50 level.
Spot gold also declined $122.06, or 3.04%, to $3,899.33 per ounce, falling below $4,000.
The sharp correction reflected weakening investor sentiment across global bullion markets.
Why Prices Are Falling
Saumil Gandhi, Senior Analyst of Commodities at HDFC Securities, attributed gold’s decline to bearish global factors affecting market sentiment.
Ashish Rajodiya, Head of Commodities at PL Capital, said elevated crude oil prices, inflation concerns and expectations of tighter US monetary policy pressured silver.
Also read: Gold, Silver Brace For Fresh Volatility As US Jobs Data And Iran Tensions Take Focus
Kaynat Chainwala, AVP Commodity Research at Kotak Neo, highlighted stronger-than-expected US GDP growth and higher inflation as factors keeping another Federal Reserve rate hike possible.
Investors Turn Cautious
Concerns over AI-related investments and falling technology stocks also increased pressure on precious metals.
Analysts warned that investors might liquidate bullion holdings to cover losses elsewhere.
Gold and silver are heading towards monthly declines exceeding 4% and 16%, respectively.
Despite softer bond yields and a weaker dollar, investors increasingly favoured US Treasuries over non-yielding precious metals.
Broader financial market deleveraging continued to limit demand for gold and silver.
