Gold and Silver Prices Plummet Amidst Profit-Taking and Strong Dollar

Gold and silver prices dipped significantly in futures trading due to profit-taking and a strong US dollar. Gold for February delivery decreased by 0.8%, while silver futures for March 2026 faced a 7.48% drop. Despite the setback, both metals are poised for substantial annual gains.

In a dramatic turn of events, gold and silver prices plunged during futures trade on Wednesday as investors sought to book profits at high levels. The dip coincided with a strengthening US dollar and echoed weak global trends, impacting market dynamics significantly.

The yellow metal for February delivery saw a decline of Rs 1,098, or 0.8%, settling at Rs 1,35,568 per 10 grams on the Multi Commodity Exchange (MCX). Silver futures for the March 2026 contract bore the brunt, plummeting 7.48% to touch the lower circuit limit before a partial recovery.

Despite the midweek crash, key analysts note that gold and silver are still positioned to close 2025 with their most substantial annual gains since 1979, demonstrating robust performance amidst a volatile trading environment.

(With inputs from agencies.)