New Delhi, July 16, 2025 — Gold and silver prices witnessed a notable decline in the domestic market on Wednesday, marking the second consecutive session of losses. According to the All India Sarafa Association, gold fell by ₹500, settling at ₹98,870 per 10 grams, while silver dropped ₹1,000, closing at ₹1.11 lakh per kilogram, inclusive of all taxes.
Gold of 99.9% purity, which had already dipped ₹200 on Tuesday, continued its downward trend due to persistent selling by stockists. Meanwhile, gold of 99.5% purity slipped ₹400 to ₹98,400 per 10 grams. Silver, which had closed at ₹1.12 lakh per kg in the previous session, also saw a sharp correction.
In contrast, global bullion markets showed resilience. Spot gold rose by USD 16.41 or 0.49%, reaching USD 3,341.37 per ounce, supported by renewed tariff threats from U.S. President Donald Trump. The proposed levies on pharmaceuticals and semiconductors, along with broader tariffs targeting 25 countries, have subdued global risk appetite.
Spot silver surged nearly 1%, trading at USD 38.05 per ounce, with prices briefly touching USD 39. Analysts attribute the rally to increased investor interest, inflows into physically backed silver products, and expanding futures market activity, particularly in China. Technical traders further fueled momentum after prices broke key resistance levels.
Experts caution that while silver has shown breakout potential, its comparative value against gold may be nearing exhaustion. The gold/silver ratio has declined to around 85, down from 100, suggesting limited catch-up room for silver.
Market watchers are now eyeing upcoming U.S. macroeconomic indicators, including the Producer Price Index (PPI) and jobless claims, which could influence the trajectory of bullion prices in the coming weeks.
