Ahmedabad / India – December 18, 2025: The Indian bullion market is witnessing a sharp rally in precious metal prices, with silver and gold reaching fresh peaks amid global economic uncertainties, robust demand, and shifting investor sentiment.
Silver prices crossed the ₹2 lakh per kilogram mark in Ahmedabad and other Indian cities on Wednesday, trading around ₹2.06 lakh per kg — the highest on record in the domestic retail market. Analysts attribute this surge to investor interest in safe-haven assets, global supply constraints, and expectations of U.S. interest rate cuts.
Gold prices have surged alongside silver, with the 24-carat gold rate in Ahmedabad nearing ₹1,34,890 per 10 grams on Thursday. Across major Indian markets, gold remained elevated, reflecting sustained buying from both investment and jewellery segments.
On international markets, silver continued its remarkable uptrend, climbing above $66 per ounce — its strongest performance in decades — supported by strong industrial demand (especially in green energy sectors), speculative buying, and tight supply conditions. Gold also saw gains, trading above $4,300 per ounce as investors sought refuge amid economic uncertainty and geopolitical risks.
• Safe-haven appeal: Heightened global economic uncertainty and geopolitical tensions have driven investors toward precious metals.
• Expectations of rate cuts: Softer U.S. economic data boosted market expectations of Federal Reserve rate reductions, lifting demand for gold and silver.
• Industrial demand for silver: Beyond investment motives, silver’s role in industries like solar energy and electronics underpins strong demand projections.
• Gold (24K) – Around ₹13,489 per gram in Ahmedabad, up from previous sessions.
• Silver – Roughly ₹2,11,000 per kg in Ahmedabad.
Market watchers caution that while bullion prices have surged to record levels, metals like silver remain volatile and could see corrections depending on global economic indicators, interest rate decisions, and currency movements. Gold’s long-term trend remains underpinned by safe-haven demand, but short-term fluctuations are possible as trading activity evolves.
