Gold and silver prices surged to hit fresh lifetime highs in both domestic and international markets on Monday, driven by a weak US dollar and growing expectations of rate cuts by the US Federal Reserve.
On the Multi Commodity Exchange (MCX), gold futures for February delivery climbed ₹1,628, or 1.21 per cent, to a new record of ₹1,35,824 per 10 grams. The yellow metal had gained ₹574, or 0.43 per cent, during the past week.
Silver futures witnessed robust gains on the MCX. The white metal for March 2026 contract rallied sharply by ₹6,144, or 2.95 per cent, to touch an all-time high of ₹2,14,583 per kilogram. It had zoomed ₹15,588, or 8.08 per cent, over the past week.
“Gold and silver prices began the week by touching fresh lifetime highs in both domestic and international markets,” Rahul Kalantri, Vice-President of Commodities, Mehta Equities Ltd, said. The dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading flat at 98.60, lending further support to bullion prices.
On the global front, Comex gold futures for February delivery gained $42, or 0.96 per cent, to hit a record of $4,429.3 per ounce.
Comex silver futures for March 2026 contract increased by $2.04, or 3.02 per cent, to touch an all-time high of $69.52 per ounce in the overseas trade. The metal had risen by $5.48, or 8.84 per cent, over the last week.
“Gold and silver prices surged to record highs inching near $4,400 and $70 on Comex, lifted by expectations of further US Federal Reserve rate cuts after last week’s quarter-point reduction, sustained safe-haven demand, and a softer dollar,” Manav Modi, Analyst – Commodity & Currency, Motilal Oswal Financial Services, said.
Modi added that gold, a traditional safe-haven asset, is up 67 per cent for the year and silver skyrocketed by more than 125 per cent, driven by geopolitical and trade tensions, robust central bank buying and hopes of lower interest rates next year, while a lower dollar index against its major crosses has also supported prices. Global central bank actions have added to the bullish sentiment in bullion.
“Last week, the Bank of England and European Central Bank policy meeting, cut rates one more time this year by 25 basis points (bps) while the latter remained status quo, which supported the bullion prices,” Modi noted.
Jigar Trivedi, Senior Research Analyst at Reliance Securities, said geopolitical developments, including intensified US sanctions on Venezuela and Ukraine’s attack on a Russian-controlled oil tanker in the Mediterranean Sea, have further reinforced silver’s role as a safe-haven asset.
Trivedi added that silver’s industrial demand remains firm, supported by growth in the solar, electric vehicle, and data center sectors. These structural factors continue to underpin the metal’s long-term fundamentals.
Published on December 22, 2025
