26 December,2025 10:20 AM IST | Mumbai | mid-day online correspondent
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Gold prices edged up marginally in early trade on Friday, while silver also registered a modest gain across major Indian cities.
The price of 24-carat gold rose by Rs 10 to Rs 1,39,260 per 10 grams. Similarly, 22-carat gold witnessed an increase of Rs 10, with prices settling at Rs 1,27,660 per 10 grams.
In Mumbai and Kolkata, 24-carat gold was priced at Rs 1,39,260 per 10 grams, while the yellow metal was slightly higher in Chennai at Rs 1,39,870. In the national capital, Delhi, 24-carat gold was trading at Rs 1,39,410 per 10 grams.
Prices of 22-carat gold remained uniform at Rs 1,27,660 per 10 grams in Mumbai, Kolkata, Bengaluru, and Hyderabad. In Chennai, the rate stood at Rs 1,28,210, while Delhi recorded a slightly higher price of Rs 1,27,810 per 10 grams.
Silver prices also saw an uptick, rising by Rs 100 to Rs 2,34,100 per kilogram in Delhi, Mumbai, and Kolkata. In Chennai, silver was trading higher at Rs 2,45,100 per kilogram.
In a year marked by heightened global uncertainty, precious metals delivered exceptional returns for investors, with silver emerging as a surprise winner.
Silver prices surged by more than 137 per cent -- outperforming gold -- which also posted a strong gain of around 68 per cent this year.
With equity markets facing volatility, both metals strengthened their position as preferred safe investment options, but silver clearly outshone all traditional choices.
Gold's strong performance was supported by geopolitical tensions, inflation concerns, and expectations of interest rate cuts by the US Federal Reserve.
A major driving force behind gold's rally was steady buying by global central banks. For three consecutive years -- 2022, 2023 and 2024 -- central banks have purchased more than 1,000 tonnes of gold each year.
Alongside this, global investors continued to invest through gold ETFs, using them as a safe place to park funds.
Big global banks have turned increasingly bullish on gold's outlook. Goldman Sachs has raised its 2026 year-end gold price target to USD 4,900 per ounce, citing strong central bank demand and ETF inflows.
Deutsche Bank has also upgraded its outlook, projecting gold prices at USD 4,450 per ounce in 2026.
Silver's rally, however, has been driven by more than just safe-haven demand. Strong industrial usage has played a crucial role.
Growing demand from sectors such as solar power, electric vehicles, and electronics has significantly increased silver consumption.
At the same time, supply constraints have tightened the market, pushing prices sharply higher.
This dual role -- as a precious metal and an industrial input -- has helped silver deliver more than double the returns of gold in 2025.
Looking ahead, experts believe the positive momentum in silver could continue into 2026.
Gold's outlook also remains positive for 2026. Continued central bank buying, possible US rate cuts, and ongoing geopolitical risks are expected to support prices.
Meanwhile, both metal's prices climbed to new record highs on the MCX on Wednesday morning, helped by a weak US dollar and expectations that the US Federal Reserve may cut interest rates further.
Gold futures for February rose 0.42 per cent to touch an all-time high of Rs 1,38,469 per 10 grams. Silver futures for March jumped nearly 2 per cent to hit a fresh record of Rs 2,23,742 per kg.
In the global market, gold prices crossed the USD 4,500 per ounce level for the first time. The rise was driven by strong demand for safe-haven assets as investors expect more interest rate cuts by the US Federal Reserve next year.
(With inputs from Agencies)
