Relief for Buyers as Silver Prices Drop Sharply

Hyderabad: Silver prices, which surged to record levels earlier this year and moved beyond the reach of many ordinary buyers, are now witnessing a decline. Amid global uncertainties, silver prices in Hyderabad fell below ₹2 lakh per kilogram on Friday, touching ₹1.97 lakh at one point. At Thursday’s close, 10 grams of fine gold were priced at ₹1,46,460, while a kilogram of silver stood at ₹2,03,460 in the Hyderabad bullion market. Prices declined soon after trading began on Friday, with gold falling to ₹1.45 lakh per 10 grams. Prices continued to fluctuate thereafter.

In the international market, spot gold was trading at $4,035 per ounce, while silver fell to $54.35 per ounce. On the domestic Multi Commodity Exchange (MCX), silver futures touched ₹1,93,545 at one point, marking a decline of around ₹6,000 from the previous close. Inflation concerns, expectations that US interest rates may remain elevated, a slowdown in global manufacturing and worries over economic growth are weighing on industrial demand for silver. After crossing the ₹2 lakh-per-kilogram mark for the first time in December last year, silver prices have now slipped below that level after around ten months.