SRINAGAR: Silver prices tumbled 6 percent on Friday, falling to Rs 3,75,900 per kg on the Multi Commodity Exchange (MCX), after hitting a record high of Rs 4,20,048/kg on Thursday. The decline, attributed to a firmer US dollar, comes even as silver remains on track for its strongest monthly gain on record, up roughly 62 percent in January.
Globally, spot silver slipped 0.2 percent to $115.83 an ounce after touching a fresh all-time high of $121.64 on Thursday. Analysts noted the rally paused as the US dollar index rose, supported by the Federal Reserve’s decision earlier this week to keep interest rates unchanged. Fed Chair Jerome Powell indicated December inflation likely remains above the 2 percent target.
Gold prices also fell, with spot gold down 0.9 percent at $5,346.42 an ounce, after reaching a record $5,594.82 a day earlier. Gold futures in the US rose 1.3% to $5,390.80. Other precious metals saw mixed trends, with platinum down 0.9 percent to $2,606.15 and palladium up 0.5 percent at $2,016.69.
The decline in silver and gold comes amid subdued US labour market signals and ongoing geopolitical tensions, including reports of potential US actions against Iran.
