01 December,2025 10:18 AM IST | Mumbai | mid-day online correspondent
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Gold and silver prices surged in India on Monday as growing expectations of an interest rate cut in the United States drove investor sentiment, pushing the precious metals higher. Silver, in particular, hit a record high in the domestic spot market.
The price of 24-carat gold slipped marginally by Rs 10 in early trade, with ten grams trading at Rs 1,29,810. Silver prices also declined slightly by Rs 100, with one kilogram priced at Rs 1,84,900. The price of 22-carat gold fell by Rs 10, bringing ten grams to Rs 1,18,990.
In Mumbai and Kolkata, ten grams of 24-carat gold were priced at Rs 1,29,810, while in Chennai it stood at Rs 1,30,680. In Delhi, the price was Rs 1,29,960. For 22-carat gold, Mumbai, Kolkata, Bengaluru and Hyderabad recorded prices of Rs 1,18,990 per ten grams, Rs 1,19,790 in Chennai, and Rs 1,19,140 in Delhi.
Silver, meanwhile, touched a new peak in the domestic market. According to the India Bullion Association, spot silver traded at â¹1,75,010 per kilogram on December 1. The sharp rise followed a trading outage at the Chicago Mercantile Exchange due to a data-centre fault, exacerbating an ongoing supply shortage.
In the global market, gold prices edged lower as investors booked profits after the metal touched its highest level in nearly three weeks. Spot gold was down 0.2 per cent at USD 4,221.68 per ounce as of 0109 GMT, after hitting its strongest level since November 13. US gold futures for December delivery were up 0.2 per cent at USD 4,261.60 per ounce.
Silver climbed 2.2 per cent to a fresh high of USD 57.59 per ounce. US rate futures indicate strong expectations of a rate cut, with traders pricing in an 87 per cent probability of monetary easing later this month, according to the CME FedWatch tool.
Among other precious metals, platinum slipped 0.2 per cent to USD 1,669.15, while palladium rose 2.3 per cent to USD 1,483.51. The precious metals market is expected to remain sensitive to further signals from the US Federal Reserve.
Bank of America earlier this week said that gold could touch USD 5,000 with macro tail winds such as elevated government debt levels, persistent inflation, lower interest rates, and unconventional US economic policies.
They noted that institutional allocations remain relatively light even as prices climb.
Slowing demand from China, supply constraints in key mined metals and low global inventories are other key watch points, according to the bank.
(With inputs from Agencies)
