Gold, silver slide as sensex, nifty rally on U.S.-India trade boost

Gold and silver prices witnessed sharp fluctuations on Tuesday, slipping significantly even as domestic equity markets opened on a strong note following announcements related to tariff reductions by U.S. President Donald Trump and developments surrounding the U.S.-India trade deal.

The benchmark equity indices rallied sharply in early trade, with the Sensex surging nearly 3,600 points at the opening bell, while the Nifty gained around 1,200 points, reflecting strong investor optimism driven by positive global cues.

In contrast, bullion prices moved lower despite the equity rally. The price of 24-carat gold declined by Rs 1,420, with 10 grams now priced at Rs 1,51,750. Similarly, 22-carat gold fell by ₹1,300, bringing the price of 10 grams to Rs 1,39,100. Silver recorded a sharper correction, dropping by Rs 20,000 per kilogram to trade at Rs 2,80,000.

Market experts attributed the fall in precious metal prices to a combination of global and technical factors. Economic expert Chitaranjan Behera said the decline was influenced by the strengthening of the U.S. dollar and President Trump’s announcement regarding the appointment of a new chairman of the U.S. Federal Reserve.

Also Read: India-U.S. deal sparks nifty jumps to 4.8%, sensex surges 3,656 points

“Several technical factors are contributing to the fall in bullion prices. However, gold prices may rise again in the future,” Behera said. He cautioned investors against lump-sum investments in silver, noting its inherent volatility. “Silver prices are always volatile, so traders should avoid investing all at once. It is difficult to immediately predict the future movement of gold and silver prices,” he added.