Silver Falls in MCX Futures; Global Weakness Weighs on Bullion

Mumbai, March 24: Silver prices declined in MCX futures trading on Tuesday, tracking weakness in global bullion markets. The metal slipped as prices remained under pressure amid easing geopolitical concerns and profit-booking after recent volatility.

On the Multi Commodity Exchange (MCX), silver for May delivery fell ₹1,605, or 0.71%, to settle at ₹2,25,167 per kg. The contract opened at ₹2,17,702 and traded in a wide range during the session. It touched a high of ₹2,29,300 and a low of ₹1,99,643, reflecting sharp intraday swings.

Trading activity remained moderate, with volumes at 17,932 lots. Open interest declined 2.30%, indicating some unwinding of positions.

Physical Market and Global Prices

In the physical market, silver prices also showed weakness. According to the India Bullion and Jewellers Association (IBJA), silver of 999 purity was quoted at ₹2,01,500 per kg in the morning session and ₹2,19,260 per kg in the afternoon session on March 23. Prices have eased from higher levels seen earlier this month.

In global markets, COMEX silver for May delivery settled at $69.36 per ounce, down 0.44%. London spot silver was seen at $67.23 per ounce. Gold prices also declined sharply, with COMEX gold (June contract) falling 3.69% to $4,439.50 per ounce.

The gold-silver ratio stood at 64.01, indicating relative strength in silver compared to gold. Meanwhile, silver holdings in the iShares Silver ETF rose by 61.97 tonnes to 15,248.91 tonnes, even as prices declined.

Outlook and Key Levels

Market indicators suggest a cautious outlook for bullion prices. The MCX iCOMDEX Bullion Index fell 2.92% to 35,145, reflecting overall weakness in the segment.

According to market data, key support for MCX silver is seen in the range of ₹2,10,000 to ₹2,18,000, while resistance is placed between ₹2,25,000 and ₹2,35,000.

Analysts expect bullion prices to remain under pressure in the near term, with global factors and macroeconomic developments continuing to influence sentiment. Investors will closely track upcoming economic data and global cues for further direction in precious metals.

Source: 

https://www.mcxindia.com/products/bullion/gold