Silver touches ₹2.53 lakh/kg after three days of decline:Gains ₹17,000 amid positive market sentiment, gold trades at ₹1.45 lakh per 10 grams

After falling for three consecutive sessions, gold and silver prices turned upward on February 3. In the futures market (MCX), silver surged by nearly ₹17,000, or about 7%, taking the price of 1 kg silver to ₹2.53 lakh. Over the previous three days, silver had dropped sharply by around ₹1.60 lakh. Gold also recorded gains during the session, rising by nearly ₹5,000 (around 3%) to ₹1.45 lakh per 10 grams. In the last three trading days, gold prices had fallen by about ₹26,000. Silver trades at ₹2.55 lakh per kg in bullion market According to the India Bullion and Jewellers Association (IBJA), silver is currently trading at ₹2,55,372 per kg in the bullion market. Meanwhile, the price of 10 grams of 24-carat gold stands at ₹1,50,708. Market experts said that gold and silver prices had declined over the past three days due to profit booking, before rebounding in today’s session. Why do gold and silver prices differ between MCX and the bullion market? MCX (Multi Commodity Exchange): MCX is an electronic trading platform where gold and silver are traded like stocks. Prices change every second based on demand, supply, and real-time bidding by traders. Bullion Market: The bullion market deals in physical gold and silver. Prices here include additional costs such as transportation, storage, insurance, and handling of the physical metal, which is why bullion rates are usually higher than MCX prices. Two key reasons for the fall in gold and silver prices 1. Profit Booking:
Gold and silver prices had recently touched record highs, prompting investors to book profits on a large scale. This selling pressure led to a decline in prices. 2. Weakening Physical Demand:
After hitting all-time highs, demand for physical gold and silver slowed down. Concerns over industrial demand, especially for silver, also added pressure on prices. Margin hike puts pressure on gold and silver prices SEBI-registered commodity expert Anuj Gupta said that after copper, the Chicago Mercantile Exchange (CME) has increased margin requirements for gold and silver. · Gold margin raised from 6% to 8% · Silver margin increased from 11% to 15% Higher margins mean traders must invest more upfront capital to hold positions. Many traders who had already bought gold or silver are required to deposit additional funds. If they fail to do so, they are forced to sell their holdings. When large-scale selling occurs, prices tend to fall further. Things to keep in mind while buying gold from jewellers 1. Buy Only Certified Gold: Always purchase gold with a BIS (Bureau of Indian Standards) hallmark. The hallmark number, such as AZ4524, confirms purity and carat value. 2. Verify Prices and Weight: Check the gold price on the day of purchase from reliable sources such as the India Bullion and Jewellers Association (IBJA) website. Also ensure the correct weight and purity, as prices vary for 24-carat, 22-carat, and 18-carat gold. 4 ways to identify real silver Magnet Test: Real silver does not stick to magnets. If it sticks, it’s fake. Ice Test: Place ice on silver. Ice will melt very quickly on real silver. Smell Test: Real silver has no odor. Fake may have a copper-like smell. Cloth Test: Rub silver with white cloth. If it leaves a black mark, it’s genuine.