Trading in domestic precious metals kicked off the week with divergent trends as bullion prices saw sharp swings. On 5 October 2026, gold futures on the Multi Commodity Exchange (MCX) registered a drop of more than 0.70 percent, whereas silver hovered within a tightly bound range, reflecting a mild movement of 0.13 percent. Market participants maintained a cautious stance ahead of major domestic and international macroeconomic triggers.
Gold Erases Early Gains to Trade Down at ₹1,49,270
The yellow metal initially began Monday's session on a positive note. After closing at ₹1,50,390 per 10 grams on Thursday of the previous week, gold opened ₹807 higher at ₹1,51,197 per 10 grams. However, this early momentum was quickly overtaken by selling pressure, sending prices tumbling into negative territory. By roughly 11:22 AM, December 4 contract gold on the MCX dropped by ₹1,120, or 0.74 percent, to trade at ₹1,49,270 per 10 grams.
Across the session, gold fluctuated between an intraday peak of ₹1,51,197 per 10 grams, which was also its opening level, and an intraday low of ₹1,48,850 per 10 grams. Compared to Thursday's final settlement figure, the contract experienced an intraday decline of as much as ₹1,540.
Silver Tracks Modest Swings in Controlled Range
In contrast to gold's steeper slide, silver maintained a comparatively steady trajectory. The metal had concluded the previous Thursday at ₹2,25,877 per kilogram before opening on Monday with a slight uptick of ₹23 at ₹2,25,900 per kilogram. Later in the session, December 4 delivery silver stood at ₹2,26,178 per kilogram, marking a movement of ₹301, or 0.13 percent.
During the day's trade, silver touched an intraday high of ₹2,26,999 per kilogram and an intraday bottom of ₹2,25,900 per kilogram. In relation to Thursday's close, the commodity fluctuated between being down by ₹276 and moving up by ₹301.
Geopolitical Headwinds and Central Bank Policy in Focus
Commodity market analysts highlighted that heightened price volatility is likely to persist across the bullion segment throughout the week. Shifts in the US dollar index and ongoing frictions between the United States and Iran have clouded market projections, keeping commodity traders vigilant.
On the domestic front, investor attention is focused on Wednesday's monetary policy announcement from the Reserve Bank of India (RBI), where expectations point to a potential 0.25 percent hike in the benchmark repo rate. In addition to the interest rate trajectory, upcoming global service PMI figures from leading economies, US trade statistics, and consumer sentiment surveys are set to provide further direction to precious metal valuations.
