# Silver Plunges Rs 50,000 in Six Days Across Chennai and Hyderabad Bullion Counters

> Industrial and retail silver values have shed Rs 50,000 per kilogram over six trading sessions in Chennai and Hyderabad, pulling the 1Kg price down to Rs 2.60 lakh on February 18.

**Type:** article · **Category:** Market · **Published:** 2026-10-29 · **Source:** TrendKia
**Canonical:** https://trendkia.com/en/market/chennai-aura-hyderabad-men-chandi-50-000-rupaye-tuti-chhaha-dinon-men-1-kilograma-ke-bhava-men-bhari-giravata-53257 · **Language:** English
**Tags:** Silver Price, Bullion Market, Chennai Silver Rate, Hyderabad Silver Rate, IBJA, Commodities

Physical bullion counters across major southern trading hubs have recorded a steep retreat in white metal valuations over less than a week. In Chennai and Hyderabad, silver prices surrendered Rs 50,000 per kilogram across a six-day stretch, culminating in another sharp markdown on February 18. During the session, one kilogram of silver dropped by Rs 5,000 in both cities, bringing the benchmark cost down to Rs 2.60 lakh. The identical pricing trend across these two southern hubs highlights the regional breadth of the correction.

## Breakdown of Fresh Retail Rates by Denomination
The downward revision on February 18 extended across every traded retail denomination. In both Hyderabad and Chennai, a 100-gram lot lost Rs 500 to settle at Rs 26,000, while a 10-gram purchase eased by Rs 50 to trade at Rs 2,650. For smaller jewelry weights, an 8-gram unit declined by Rs 40 to Rs 2,080. Even the smallest single-gram measure shed Rs 5, settling at Rs 260 per gram. These uniform markdowns across all denominations reflect how lower wholesale spot quotes quickly filter down to local retail counters.

## The Timeline of the Six-Day Sell-Off
The cumulative Rs 50,000 drop followed a sequence of volatile sessions beginning mid-month. Prior to the February 18 reduction, prices had held flat on February 17, but that pause came immediately after a severe Rs 15,000 decline on February 16. That sell-off had been preceded by two quiet sessions on February 14 and February 15 when quotes remained unchanged. However, the most damaging single-day retreat over the past ten days occurred on February 13, when one kilogram tumbled by Rs 20,000 in a single trading cycle. Adding up the losses between February 13 and February 18 reveals an aggregate drop of Rs 50,000 per kilogram.

## Monthly Losses Approach 19 Percent
Taking a broader view of the past ten days, local silver trading has been characterized entirely by downward slumps or completely flat sessions. The last time buyers saw an upward move in Chennai and Hyderabad was on February 9, when rates climbed by Rs 15,000. Since that date, upward momentum has completely disappeared from the market. So far in February 2026, silver has plunged by nearly 19%, marking one of the swiftest multi-week contractions seen in recent trade.

## Broad Commodity Sell-Off and Industrial Sentiment
Market observers link this prolonged pullback to broader financial and industrial crosscurrents. Aksha Kamboj, Vice President of the India Bullion & Jewellers Association (IBJA), noted that the silver market is facing a harsher downturn due to widespread selling pressure across commodities. Because silver inherently carries higher volatility than many peer assets, price reactions have become more pronounced under the dual impact of shifting investment demand and weaker industrial sentiment. While this selling pressure may persist in the immediate term, severe price pullbacks historically tend to draw buyers back into the physical market once conditions stabilize.

## What this means for you
The severe downward correction in silver prices brings tangible cost relief to retail jewelry buyers while altering input expenses for industrial users.

- **Across India:** Buyers planning jewelry or bullion acquisitions benefit from lower per-gram acquisition costs across physical outlets. Those seeking exposure to physical silver can execute purchases at prices roughly 19% below early-month levels.
- **In Chennai and Hyderabad:** Local buyers in both metro centers now encounter 1Kg rates pegged at Rs 2.60 lakh alongside a 10-gram rate of Rs 2,650. Shoppers making wedding or seasonal purchases in these cities can directly transact at these revised retail benchmarks.
- **For Industrial Users:** Manufacturing units reliant on silver for electronics, solar cells, and specialized components see immediate relief in raw material procurement expenses. This month-to-date discount helps lower aggregate component assembly costs while the slump lasts.
- **For Precious Metal Investors:** Short-term portfolio values have experienced rapid drawdown following the Rs 50,000 drop in less than a week. However, sharp downward corrections often create attractive entry opportunities for disciplined buyers once price action finds a stable floor.

## Why this happened
A broad retreat across commodity markets combined with silver's inherent volatility to accelerate the rapid downward spiral in prices.

- **Broad Commodity Market Sell-Off:** A widespread sell-off across commodities exerted immediate downward drag on precious metals. According to IBJA, this broader market slump triggered heightened liquidation across physical and trading positions.
- **Heightened Market Volatility:** Silver naturally carries higher market volatility than other mainstream precious assets. When market sentiment weakens, this structural trait causes prices to decline far more drastically in short trading windows.
- **Twin Headwinds from Investment and Industry:** Silver trades simultaneously as a financial store of value and an indispensable industrial input. Negative sentiment emerging concurrently on both the investment allocation side and industrial usage fronts magnified the sell-off.
- **Correction and Buyer Exhaustion:** Historical trading patterns indicate that intense corrections eventually flush out weak positions and attract fresh physical buyers once volatility ebbs. Until that equilibrium is achieved, prices often remain vulnerable to further intraday pressure.

## Questions & Answers

### 1. What was the price of 1Kg silver in Chennai and Hyderabad on February 18?
On February 18, 1Kg silver fell by Rs 5,000 in both cities to settle at Rs 2.60 lakh.

### 2. How much has silver dropped between February 13 and February 18?
Silver plunged by Rs 50,000 per 1Kg across this six-day period.

### 3. What is the total percentage decline in silver so far in February 2026?
Silver has dropped by nearly 19% across February 2026 so far.

### 4. What were the retail prices for 10 grams and 100 grams of silver on February 18?
On February 18, 10 grams of silver traded at Rs 2,650 while 100 grams stood at Rs 26,000.

### 5. When did silver experience its steepest single-day loss over the past ten days?
The largest single-day drop occurred on February 13, when 1Kg silver dropped by Rs 20,000.

### 6. What key reasons did IBJA cite for the steep silver correction?
IBJA Vice President Aksha Kamboj attributed the downturn to a general commodities sell-off, high silver volatility, and pressure from both industrial and investment sentiment.

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