stock market crash
Gold and silver are considered to be a traditional and safe option of investment in India. Whenever there is a decline in the stock market or rupee, investors turn to gold and silver to protect their capital. This is the reason that during the last week, gold and silver prices got a steady rise amidst the weakness of the rupee and the decline of the stock market.
Gold reached new height
Due to the weak rupee and support from the global market, gold prices were recorded in the Indian market. Gold became expensive by about 800 to 1,000 rupees per 10 grams in a week. This has further strengthened the trend of investors on gold. Experts say that the demand has also increased due to the festive season, which is supporting prices.
There is a strong lead in silver too
Along with gold, silver also continued to rise. Silver prices jumped due to the dollar weakening in the international market and improvement in industrial demand. Silver increased from Rs 1,500 to 2,000 per kg throughout a week. This boom in the domestic market is considered to be a good sign for investors.
The weakness of rupee became a big reason
The Indian rupee showed a steady weakness against the dollar in the past. The rupee reached a record -low against the dollar this week, the price of the rupee reached Rs 88.76 against one dollar on Thursday. At the same time, experts believe that the rupee can reach 88.50-89.00 on Monday. When the value of the rupee decreases, then imported goods become expensive. Since a large part of gold and silver is imported in India, the fall of the rupee directly pushes the prices of these metals up. This is the reason that due to the weak rupee, there was a jump in gold and silver.
Search for safe investment due to stock market fall
Last week, the Indian stock market declined. Both the Sensex and Nifty index were fluctuating, which weakened the trust of the investors. The Indian stock market failed a strong decline last week (2226 September 2025). The Sensex and Nifty remained below 3%, while the Nifty Bank broke 2%. All the sectoral index closed in red mark, with the largest loser. The Nifty IT index fell 8% and TCS gave the worst weekend of 5 years. Overall, 43 Nifty shares remained in loss and an amount of about Rs 16 lakh crore was blown away from the market cap of BSE listed companies. The past week was very heavy for the Indian stock market. Sensex and Nifty recorded the biggest weekly decline after March 2025 due to frequent selling and global pressure.