Trading in the physical bullion market displayed a stark divergence on Thursday, with the two precious metals moving in opposite directions. Gold extended its winning streak for a second consecutive session across the national capital, buoyed by a softening domestic currency and steady overseas support. Conversely, industrial metal silver faced intense liquidation, enduring a steep single-day fall. Local traders noted that physical bullion trading desks will remain closed on Friday on the occasion of Gandhi Jayanti.
Current Spot Prices in the Delhi Bullion Market
In Delhi physical trade, standard gold of 99.9 percent purity appreciated by 500 rupees to touch 1,49,800 rupees per 10 grams. The yellow metal had concluded Wednesday's session at 1,49,300 rupees per 10 grams. In sharp contrast, silver suffered an aggressive markdown of 5000 rupees to settle at 2.27 lakh rupees per kilogram. During the previous trading session, white metal quotes in Delhi had settled at 2.32 lakh rupees per kilogram.
Weekly Trajectory and Currency Headwinds
Despite staging a two-session recovery, gold remained in negative territory on a weekly basis, losing 2800 rupees or nearly 2 percent of its value across the week. The drop was markedly steeper for silver, which shed 10,000 rupees or roughly 4.2 percent over the same weekly timeframe. Domestic gold found downside protection primarily from foreign exchange movements, as the Indian rupee breached the 96 per dollar mark to close at 96.31 against the US currency, marking its weakest standing in over two months.
Global Market Dynamics and Analyst Observations
Overseas bullion boards posted steady gains during the session. Spot gold ticked higher by 11.94 dollars or 0.29 percent to 4169.06 dollars per ounce, while international spot silver advanced by roughly 1 percent to trade at 60.79 dollars per ounce. Lemon head of research Gaurav Garg noted that softening US consumer price pressures reduced expectations regarding future Federal Reserve policy tightening, helping gold stay firm even as dollar resilience kept silver choppy.
Mirae Asset Sharekhan commodity head Praveen Singh observed that while tame inflation readings supported precious metal values, surging crude oil prices capped wider upside due to persistent uncertainties surrounding the Strait of Hormuz. HDFC Securities senior analyst (commodity) Saumil Gandhi added that bullion investors are closely monitoring forthcoming macroeconomic releases, specifically US ISM manufacturing PMI prints, weekly jobless filings, and official commentary from Federal Reserve authorities to gauge the trajectory of future interest rates.
