Gold and silver prices sharply rise after a period of decline on the MCX exchange

There is a constant change in the prices of gold and silver. On Wednesday, fluctuations in the value of precious metals occurred again on the Multi Commodity Exchange (MCX), with the price of silver falling significantly and becoming cheaper than its previous high level. This presents a favorable opportunity for those planning to purchase silver during the holiday season.

According to MCX data, when it opened on Wednesday, December 4th, silver began trading at 177,600 rubles per kilogram. On the previous trading day, this metal commodity closed at 179,698 rubles. Thus, the cost of one kilogram of silver decreased by 2,098 rubles.

Analyzing the dynamics over the last month, from October 4th to November 4th, shows a significant drop in the price of silver. On October 4th, when trading on MCX ended, the price was 237,658 rubles per kilogram. By the start of trading on Wednesday, November 4th, silver had fallen to 177,600 rubles, which means a decrease of 60,058 rubles over this period.

If we look at the drop in the silver price relative to the historical maximum, the MCX Silver Price exceeded the 400 thousand rubles mark per kilogram for the first time at the end of January this year, reaching a peak of 420,048 rubles per kilogram. Compared to current prices, 1 kg of silver is now available 242,448 rubles cheaper than its maximum.

Additionally, updates were provided on the gold exchange rate on MCX. The price of 10 grams of 24-carat gold with an expiration date of December 4th closed at 139,452 rubles the previous day. On Wednesday, immediately after the futures trading began, this yellow metal slightly decreased to 139,177 rubles, but then showed an increase of approximately 150 rubles.

Similarly to silver, there was a change in the price of gold over the last month. On October 5th, the futures price for gold was 149,316 rubles for 10 grams, and on November 4th, it fell to 139,177 rubles, corresponding to a decrease in gold by 10,139 rubles over the month.

In recent days, a significant decline in the prices of gold and silver has been observed. Daily drops in silver prices ranging from five to ten thousand rupees are being recorded against the backdrop of the ongoing geopolitical situation worldwide. Usually, during such moments, the prices of precious metals like gold and silver demonstrate growth; however, an opposite trend is observed in this case.

Silver is losing value daily, and gold is following suit. Silver, which reached a record 4.20 lakh rupees per kilogram this year, has decreased by 2.40 lakh rupees over just ten months, reaching the mark of 1.80 lakh rupees per kilogram. This raises a natural question about the reasons for such a fall in silver prices.

On Friday, on MCX, the price of silver with December futures traded at 1,82,500 rupees per kilogram, showing a drop of 3.67 percent or 7,000 rupees by 17:08. Simultaneously, the price of gold decreased by 1.16 percent or 1,657 rupees, amounting to 1,40,900 rupees per 10 grams.

The decrease in the value of gold and silver occurred not only in India's domestic commodity market but also internationally. In the global market, gold fell by 1.26 percent and dropped below $4000 per ounce. Silver, meanwhile, decreased by approximately 4 percent, trading at a price of $50.345 per ounce.

For those planning to purchase gold and silver during holidays such as Dhanteras and Diwali, as well as during the wedding season, there is positive news. The trend of decreasing precious metal prices continues. On the domestic market on October 23, 2026, the cost of both gold and silver was observed to fall.

Specifically, the price of 24-karat gold decreased by 0.61%, reaching 142,750 rubles per 10 grams. The price of silver fell by 1.93%, amounting to 196,510 rubles per kilogram. Pressure is also being observed in the international gold market.

Globally, gold has been at low levels for over two weeks. The main reason is growing concern about inflation linked to rising crude oil prices. This forces investors to closely monitor the upcoming statement from the US Federal Reserve regarding interest rates.

Since gold does not generate regular income, when interest rates and bond yields rise, alternative income-generating instruments become more attractive to investors. The next meetings of the US Federal Reserve, scheduled for October 27 and 28, may provide insight into the future direction of interest rates, which could potentially affect the dollar exchange rate, bond yields, and gold prices.

On the domestic futures market, prices for both metals also recorded a decline on Friday morning. At approximately 9:13 AM on the Multi Commodity Exchange (MCX), the futures price of gold dropped by 0.66%, reaching 142,680 rubles per 10 grams. The futures price of silver decreased by approximately 1.99%, reaching 196,390 rubles per kilogram. It is important to note that futures market prices may differ from retail prices in the country and in different cities. Furthermore, the final cost when purchasing jewelry may change due to labor markup, VAT, and other applicable fees.

24-karat gold is considered the purest sample, while 22-karat gold is more often used for making jewelry. Other metals are added to it to give the items greater durability. Silver with a purity of 999 contains 99.9% silver and is used for coins, bars, and other investment forms.

The future direction of precious metal prices will depend on several factors: US Federal Reserve meetings, crude oil prices, inflation concerns, and the dynamics of the dollar exchange rate. If signals point to a tight monetary policy, gold may remain under pressure. Conversely, if expectations of rate cuts increase, gold may receive support.

Despite today's price drop, this does not guarantee that the metal's value will rise again in the near future. Therefore, before purchasing, one must decide whether they are buying jewelry for personal use or gold as a long-term investment. If the goal is to buy jewelry, one should focus on the price of 22-karat gold, as this purity is typically used to make items. In the final receipt, the labor markup and corresponding taxes will be included.

Investors should not make decisions based solely on daily price declines. They must consider the investment horizon, the share of gold in the portfolio, and the risks associated with future price fluctuations. A price drop itself does not prove that gold has become cheap or that the right time to buy has arrived. To understand the further movement of gold, one should monitor MCX prices, global prices, and the ruble exchange rate against the US dollar.