Even though there was a decent rise in the prices of both gold and silver in the futures market of the country in the morning, by 12 o’clock there was a big fall in the prices of both. The special thing is that the price of silver has come down by more than Rs 17 thousand from its life time high on Friday. Whereas in comparison to the closing price, a decline of about Rs 3500 was seen. Globally, silver has fallen by about 7 per cent to $50 an ounce from its lifetime high of $54 an ounce.
There has been a huge rise in the prices of silver due to demand for safe investment. Apart from this, the industrial demand for silver is also very high. Also, due to reduction in production, there has been a huge reduction in supply, due to which the prices of silver have increased further. However, safe-haven demand for silver declined on Friday as trade tensions between the US and China eased. President Donald Trump acknowledged that the additional 100 percent tariffs he proposed on China were not sustainable, but Beijing “forced him to do it.”
Reduction of more than 17 thousand in silver
A big fall has been seen in the prices of silver in the futures market of the country. On Friday, silver prices had reached a life time high of Rs 1,70,415 per kg on the country’s futures market Multi Commodity Exchange. Since then, a fall of Rs 17,284 has been seen in the prices of silver. On Monday, the day of Diwali, the price of silver came down to Rs 1,53,131. This means that a decline of more than 10 percent has been seen in the prices of silver. By the way, an increase in silver prices was seen this morning. There was an increase of Rs 3,271 in silver prices from Friday’s closing price. However, at 1:10 pm, silver prices are trading at Rs 1,55,497 per kg with a fall of Rs 1,107. Analysts said that silver may also fall due to profit booking, as investors are encashing their profits.
Will silver prices rise now?
According to Motilal Oswal, the future of silver is bright. The brokerage firm noted that the silver market is currently exhibiting dynamics consistent with a major structural revaluation, which differentiates the current bullish trend from the previous anticipated cycle. The metals’ volatility, which is causing silver to move almost 1.7 times faster than gold in any direction, confirms that the current bullishness is much stronger than the speculative bullishness seen in the 1980s or 2011. Motilal Oswal said the industrial demand base is unchanging, indicating that sustained price increases will be necessary to control industrial consumption and encourage a modest increase in supply due to established supply constraints.
Fluctuations in gold prices?
Fluctuations in gold prices are being seen on the country’s futures market Multi Commodity Exchange. In the morning, there was a rise in the prices of gold and the price rose by Rs 1,548 to Rs 1,28,556. After that the prices declined and from the day’s high the prices fell by Rs 1,901 to Rs 1,26,655 per ten grams. After that again the price of gold saw a rise. At present, there is an increase of Rs 742 in the price of gold and the price has come to Rs 1,27,700.