Further decline in gold and silver prices may be seen next week. However, fluctuations in the bullion market are likely to continue. Experts said that investors are keeping a special eye on important data of the US economy such as inflation, gross domestic product (GDP) and the policies of the Federal Reserve. According to experts, traders will keep an eye on US labor data, Federal Open Market Committee (FOMC) meeting minutes and statements by Fed officials to understand the timing and pace of possible interest rate cuts. Let us also tell you what the experts have to say in this matter?
instability will remain
Pranab Mer, Vice President (EBG, Commodity and Currency Research), JM Financial Services Limited, said that gold and silver prices may see further strength, but volatility will remain due to the upcoming US data on GDP and personal consumption expenditure (PCE) inflation numbers and comments from the Federal Reserve official. In the domestic market, the futures price of silver on Multi Commodity Exchange (MCX) fell by Rs 5,532 or 2.2 percent last week, while the price of gold rose by Rs 444 or 0.3 percent.
Why did gold and silver become cheaper?
Prathamesh Mallya, vice-president (research, non-agri commodities and currencies), Angel One, said gold prices have declined in February 2026, with prices falling from a high of Rs 1,80,000 per 10 grams to around Rs 1,53,800 per 10 grams on February 13. He said stronger-than-expected US employment data had dampened expectations of a rate cut in the near term, which weighed on gold prices last week. Mallya further said that due to geopolitical tensions and strong buying before the Lunar New Year, gold’s appeal as a safe investment remains intact. This week the tussle between recession and bullishness continues and instability will remain in the coming week also.
Gold and silver in international market
If we talk about the international market, Comex gold futures increased by US $ 84 or 1.7 percent, while silver registered a slight rise and closed at US $ 77.27 per ounce. Gold prices were volatile for most of the trading session, but in the overseas market it closed at a positive level above US $ 5,000 an ounce. Pranab Mer said that bullion is undergoing consolidation amid a lack of clarity among traders as they are divided on the price direction and are looking for new fundamental factors.
Fluctuations in physical demand from India and China
Analysts say that buying by central banks, trend towards safe investments amid heavy selling in technology and AI stocks in global markets and softening of the dollar index supported gold prices. However, volatility in physical demand from India and China, profit-booking by ETF investors and strong US macro data limited the upside. Pranab Mer said that silver prices also witnessed volatility throughout the week, with two-way fluctuations and profit booking at higher levels from time to time.
He further said that the white metal came under pressure due to profit booking after the fall in industrial metals and failure to break the key technical resistance. It was also pressured by a global equity selloff led by tech stocks, which reduced risk appetite across all asset classes. Analysts say both gold and silver are likely to remain range-bound in the near term as investors await more clarity on the Federal Reserve’s monetary policy outlook and broader global economic direction.