New Delhi. This year the prices of gold and silver have increased wildly. So far in the year 2025, gold has become costlier by ₹ 43,938 and silver by ₹ 62,258. But, now the rise in gold and silver has come to a halt. This is the reason why 24 carat gold has become cheaper by Rs 10774 per 10 grams in the last 21 days. Similarly, the price of silver has fallen by Rs 29825 in 24 days. In the bullion market of New Delhi on the last trading day i.e. on Friday, the price of 24 carat gold came to Rs 1,20,100 per 10 grams. On October 17, its price had reached its highest ever level of Rs 1,30,874.
According to India Bullion and Jewelers Association (IBJA), the price of gold fell by Rs 570 on November 7. Earlier on Thursday its price was Rs 1,20,670 per 10 grams. At the same time, there was a slight increase of Rs 33 in the price of silver and it came to Rs 1,48,010 per kg. On October 14, its price had reached its highest ever level of Rs 1,78,100.
Why is the price of gold and silver falling?
There are many domestic and international reasons behind this fall in the prices of gold and silver. The festival season is now over in India. Due to this, the purchase of gold and silver has reduced and the demand has decreased. Gold and silver are considered ‘safe-haven’, that is, people buy them in difficult times. Due to reduction in trade tension between America and China, global geopolitical tension has also reduced. This has affected the demand for gold and the rates have come down.
One reason for the falling price of gold is the profit booking being done by the investors. Technical indicators like Relative Strength Index (RSI) were showing that prices had reached the overbought zone. Therefore, trend followers and dealers have started selling.
Will the price of gold fall further?
According to a report in the Economic Times, commodity analysts believe that a slight decline in gold prices may definitely occur in the short term, but the possibility of a major crash is very less. Many countries have increased gold reserves over the past few years to hedge their currency risks, but inflows may now slow, putting short-term pressure on prices. But the global price of gold will remain well above the level of 2023, because the structural support is still strong.
Investment banks remain bullish on gold. UBS has set the gold target at $ 4,200 per ounce in the next 12 months. The bank says that political risks and increasing volatility in the market can take gold up to $4,700. At the same time, Goldman Sachs estimates that by the end of 2026, prices may reach $ 4,900 an ounce.
