On Monday, December 15, gold prices experienced a slight increase, bolstered by a weakening US dollar and declining bond yields. Investors maintained a cautious stance as they evaluated the US Federal Reserve’s policy trajectory ahead of significant labor market reports. Silver prices remained stable following a robust rally the previous week, which propelled the metal to unprecedented lifetime highs.
2025: A PROMISING YEAR FOR PRECIOUS METALS
As 2026 approaches, gold and silver are emerging as two of the most monitored assets. Following a substantial rally this year, gold has risen nearly 60%, while silver has seen an impressive increase of about 100%. Analysts indicate that this positions 2025 as one of the most favorable years for precious metals in over a decade.
On the Multi Commodity Exchange (MCX), gold was priced at Rs 1,35,330 around 1 pm, reflecting an increase of 1.22 percent. Silver was trading at Rs 1,97,451, which marked a gain of 2.39 percent during the session.
Although both metals have experienced fluctuations in recent weeks, the overall trend remains positive.
FED RATE CUT AND WEAK DOLLAR BOOST PRICES
According to Rahul Kalantri, Vice President of Commodities at Mehta Equities Ltd, gold and silver ended the previous week on a high note despite significant price fluctuations. He noted that gold remained near two-month peaks, while silver reached new record highs in global markets following a 25 basis point cut in interest rates by the US Federal Reserve.
He also mentioned that a declining dollar index, which has slipped to near two-month lows, further bolstered precious metals. He observed that silver achieved lifetime highs in both international and domestic markets before some profit-taking occurred.
Kalantri indicated that while short-term volatility might persist, both metals are expected to find support at critical levels in both global and Indian markets.
GOLD OUTLOOK REMAINS POSITIVE
Market analysts assert that gold continues to remain strong above crucial breakout levels. Ponmudi R, CEO of Enrich Money, stated that the bullion markets began with a robust tone, demonstrating clear relative strength.
“COMEX Gold is firmly positioned above $4,350, maintaining higher lows within a rising channel. The previous breakout above $4,303 has established a solid support base, reinforcing bullish momentum,” he remarked.
SILVER CONTINUES TO LEAD OVER GOLD
Silver has regained its position as a leader among precious metals. Ponmudi noted that silver is experiencing strong momentum both globally and domestically, driven by industrial demand and a weaker dollar.
He mentioned that MCX silver remains in a solid bullish phase as long as prices remain above key support levels. Should this trend persist, silver may rise further, although short-term price fluctuations could continue.
WHAT INVESTORS SHOULD MONITOR NEXT
Looking ahead, market participants will closely monitor US economic data, currency fluctuations, and central bank indications. These elements are anticipated to steer the near-term price movements of gold and silver.
Currently, precious metals continue to receive robust support, keeping investor interest strong as the year nears its end.