gold and silver
The year 2025 was tremendous for both precious metals, gold and silver. The bullishness seen at the beginning of the year continued throughout the year and these metals made it one of the highest returning years in their long history. The price of gold on India’s Multi Commodity Exchange (MCX) increased by about 78%. It increased from Rs 75,233 on 20 December 2024 to Rs 1,33,589 on 22 December 2025. Whereas silver gave a tremendous return of 144% in the same period and jumped from Rs 85,146 to Rs 2,08,062. During this period, the stock market benchmark index Nifty 50 increased by only 10.18%. This is the reason why many investors started investing in yellow and white metals instead of shares.
The main reasons behind the record prices of gold were the continuous purchases by central banks and increasing industrial demand for silver. Apart from this, uncertainty regarding the global economy due to increase in tariffs by America also became an important reason for the rise in prices. Now the question is whether the world’s economies will be able to recover from the impact of tariffs in 2026 or will uncertainty remain? Is gold or silver better for investment in the new year? Let us know what the experts say.
How could the performance of gold and silver be in 2026?
Naveen Mathur, Director (Commodities), Anand Rathi Share & Stock Brokers, says, the fundamentals of both gold and silver are strong in 2026, although returns may normalize to some extent in the new year. According to him, gold will continue to perform stable due to expectation of cut in global interest rates, geopolitical tension, buying by central banks, weak dollar and investment in ETFs. Whereas silver has more volatility, but being both a precious and industrial metal, it can perform better than gold in percentage terms. IBJA Vice President Aksh Kamboj says that despite fluctuations, both the metals may remain in the positive zone till the end of 2026, as demand remains strong.
How much could prices rise in 2026?
According to Prithviraj Kothari, MD of Riddhisiddhi Bullions, next year gold can go up to $5,0005,500 (about ₹ 1.501.65 lakh). Whereas silver can reach $7580 (₹2.302.50 lakh). Suvankar Sen, CEO of Senco Gold and Diamonds, gives a somewhat cautious estimate. According to him, by the end of 2026, gold may remain between $4,3004,800 and silver at $5575 per ounce.
Siddharth Jain of SPA Capital says that in the bull market, silver moves faster than gold. According to him, gold can go up to $4,8005,000 and silver up to $85100 per ounce. Naveen Mathur believes that there is a possibility of higher rise in silver especially in the first half of 2026. According to him, by the end of 2026, gold can reach $4,9005,200 and silver can reach $8085 per ounce.
What to invest in? Lumpsum or SIP?
According to Aksh Kamboj, gold is better to keep the portfolio stable and it is better to invest in it through SIP. It is better to invest in silver in small portions from time to time, unless your strategy is to lump sum. Suvankar Sen says that gold provides stability, while silver has more upside potential. SIP takes care of fluctuations and lump sum investment can also be made at the right time.
Siddharth Jain considers SIP in silver to be better, because due to industrial demand there is a sudden sharp rise in it. With SIP, investors can take advantage of these fluctuations without trying to catch the right time.
What does the gold-silver ratio indicate?
The gold-silver ratio shows the mutual strength of gold and silver. This ratio was 87 at the beginning of the year, which has now come down to 64.70, because the price of silver has increased rapidly. Siddharth Jain says that in history this ratio has even gone up to 15:1.