Silver Price Today: Rates in 10g Lots Fall in India After Rally on Wednesday

Mumbai, April 9: Silver prices fell across India on Thursday in 10-gram lots after sharp gains in the previous session. National rates came off ₹5/gram to ₹255/gram or ₹2,550/10g. Chennai, Hyderabad and Kerala retained ₹2,600/10g (down ₹50 from Wednesday’s ₹2,650). Mumbai, Delhi, Kolkata, Bangalore, Pune, Vadodara and Ahmedabad were at ₹2,550/10g (from ₹2,600).

The ₹50 pullback in 10g silver came on profit booking after Wednesday’s rise. National silver rates hit their monthly highs yesterday on safe-haven buying as investors were attracted to the yellow metal on Iran tensions. In the South, silver was relatively stronger as jewellers were busy buying metal for festive season requirements.

Cautious Trading

Silver prices had jumped ₹10/gram nationally to ₹260/gram (₹2,600/10g) on Wednesday. Local rise in silver was driven by cues from global markets. MCX futures zoomed to ₹79,500/kg. Thursday’s fall tracked 1% spot weakness though silver was supported by offtake demand from solar panels, wires and electronics sector. Jewellers were not that bullish as some rural traders in villages had already gone for stocking after harvesting. However, urban jewellers remained cautious in their approach as one year 10g silver rates are up 18% in April 2024 as against gold, which is up 13.5% in the same period. Silver has two attractions, investment and industrial, so strong offtake demand from industry sector is a plus.

Overall silver trading was at a cautious level as traders were watching volatility on prices. Urban wholesalers said footfalls had slowed down a bit. Traders want to see stability first. Silver is trading with volatility when compared to gold. Silver market is small and price movements in silver are quite volatile. “Silver prices are more beta” as compared to gold.

Iran had declared ceasefire in the war, but it was temporary in nature and the situation is not at all stable, with intermittent clashes still reported from West Asia. War escalation will result in big crude oil and energy price rise and pain as supply gets affected. If the war prolongs it will have a negative impact on a global slowdown with supply chain disruptions of various commodities.

Uncertainty is the reason why silver and gold have rallied so sharply. Precious metals are considered safe-haven assets that find interest when stocks are volatile and geopolitical tensions are heating up. Silver has the additional support of industrial demand from solar, electronics and other sectors.

Gold Prices

Indian retail rates for gold edged up on Thursday with the national benchmark going soft. As per the latest data released, the national level for 24K is ₹1,51,480 per 10 grams today. 22K is available at ₹1,38,850 per 10 grams and 18K touched ₹1,13,610 per 10 grams. On Wednesday, the national price of 24K was ₹1,53,820 per 10 grams, 22K at ₹1,41,000 per 10 grams, and 18K at ₹1,15,370 per 10 grams.

Source:

• Goodreturns.in