Gold and silver snapped a two-day streak of an uptrend in prices to resume their fall witnessed during the last weekend. Silver fell more than gold, showing the same momentum that lifted it to a record high of $122 announce last week.
The precious metals complex came under selling pressure on Thursday despite bargain hunting witnessed earlier this week, as investors were swayed by the rise in the dollar and a hawkish signal from the US Fed over interest rates.
Though both metals pared their losses, they were still in the red along with the platinum group of metals, platinum and palladium. Gold sashayed by $200 on either side, while silver by $16 an ounce.
Chinese gold ETFs outflow
Ponmudi R, CEO of Enrich Money, said precious metals’ prices are trading below key moving averages, indicating short-term downward pressure and a corrective phase rather than a reversal of the broader trend.
Renisha Chainani, head of research at Augmont, said gold and silver erased recent gainson renewed selling pressure and heightened volatility returned to precious-metal markets.
“China’s gold ETFs (exchange-traded funds) witnessed record daily outflows, with nearly $1 billion withdrawn from major bullion-backed funds after the sharp price correction unsettled investor confidence,” she said.
At 1240 hours IST, gold was down 0.81 per cent at $4,926, after having dropped to below $4,900 an ounce in early trade. On COMEX, Gold April futures ruled at $4,942.70, swaying between $4,809.56 and $5.045.
In the Mumbai spot market, gold opened at ₹1,53,012 per 10 gm against ₹1,56,625 on Wednesday evening. On MCX, gold April futures were up a tad to ₹1,53,201 against ₹1,53,046.
Silver nosedived over 10 per cent to $79.05 an ounce. On COMEX, silver March futures were quoting at $78.73 an ounce, swinging between $73.38 and $89.80. In the Mumbai spot market, silver opened at ₹2,52,232 a kg against ₹2,82,462 at close on Wednesday. On MCX, silver March futures were quoted at ₹2,51,800 against ₹2,68,850.
‘Uptrend intact’
Platinum declined by over 4 per cent to $2,061 an ounce, while palladium dipped by over 1 per cent to $1,720 an ounce.
Ponmudi said the broader uptrend in gold and silver remains intact, with the pullback reflecting profit booking and healthy price digestion.
“Strong buying interest is evident in the $4,700–$4,800 support band, and sustained stability above this area could pave the way for renewed upside, with a breakout above $5,100–$5,200 opening the path toward prior record highs, he said.
Chainani said in the short term, gold prices are likely to remain weak and consolidate within the $4,550–$5,100 range (₹140,000–₹1,60,000). “A buy-on-dips and sell-on-rallies approach is advisable. A decisive break below $4,550 could open the door toward the next support near $4,200 (₹130,000),” she said.
Silver is also expected to trade weak and consolidate in the $74–$91 range (₹2,35,000–₹2,85,000). “Traders should follow a buy-on-dips, sell-on-rallies strategy. A breakdown below $74 may trigger further downside toward $69 (₹220,000),” said Chainani.
Published on February 5, 2026
