There has been such an earthquake in the prices of gold and silver which has surprised even the market experts. The speed with which the prices of these precious metals have come down in the last few days has never been seen in the last 40 years. Gold, which was touching the sky just a few days ago, has suddenly become victim of a huge fall. In a country like India, where gold is considered not only a safe investment but also an important part of tradition and culture. In such a situation, the biggest question arising in the minds of investors and common buyers is whether this is a time to panic, or a great opportunity to buy gold and silver at cheap rates?
Record of 40 years broken, how cheap did gold and silver become?
From the international market to the domestic market of India, there is an atmosphere of heavy selling everywhere. If we look at the global data, the gold which was trading at $ 5,200 an ounce on March 13 fell to $ 4,354 an ounce by March 23. Earlier, this metal had also touched its all-time high of $5,595.51. According to the latest data from ICE, spot gold fell by 2.0 percent to $ 4,400.44 an ounce, which had also fallen to $ 4,320.08 during the trading session. This is the lowest level since the beginning of January.
Talking about the Indian market, huge reduction in prices has also been seen on Multi Commodity Exchange (MCX). Silver futures maturing in May 2026 have fallen by 6 percent (Rs 13,606) to Rs 2,13,166 per kg. At the same time, the price of gold for delivery in April 2026 has fallen by 5 percent (Rs 7,115) to Rs 1,37,377 per 10 grams. Customers have also got great relief in the spot market of the capital Delhi. Here the price of 10 grams of gold has decreased by Rs 5,950 to Rs 1,40,170, while silver has become cheaper by Rs 15,000 and has reached Rs 2,30,000 per kg.
Why is investor confidence breaking despite the war?
Generally, whenever there is any geopolitical tension or war in the world, investors turn to gold as a safe investment. But the current market situation is completely different. Despite ongoing tensions in the Middle East, gold has lost its traditional ‘safe-haven’ sheen.
According to Ole Hansen, Head of Commodity Strategy at Saxo Bank, there are many big economic reasons behind this. The continuous strength of the dollar in the market and high ‘real yields’ have put huge pressure on gold prices. Apart from this, there is also speculation in the market that some economies are selling their gold reserves on a large scale to deal with the global liquidity crisis. Although this has not been officially confirmed yet, this apprehension has definitely created an atmosphere of extreme caution in the market.
Is this a ‘golden chance’ for long-term investors?
Seeing these huge fluctuations in the market, common buyers often get confused. According to a recent report by ‘The Wall Street Journal’ (WSJ), this sharp fall of gold can prove to be a great opportunity for long-term investors.
Priyanka Sachdeva, Senior Market Analyst, Philip Nova, believes that this ‘correction’ is a golden opportunity for long-term buyers to make staggered investments at lower levels. After slipping below $4,400 an ounce, the 200-day moving average of $4,154 an ounce is now emerging as a new technical target. Experts estimate that prices may reach this level before completely stabilizing.