Silver Futures Witness Sharp Decline of Over 2% to Rs 2.33 Lakh per Kg
In a significant market movement, silver prices experienced a steep drop of more than 2% on Tuesday, settling at Rs 2,33,561 per kilogram for March delivery. This decline reflects ongoing pressures from weak global cues and thin liquidity conditions in the commodities market.
Key Details of the Price Fall
The silver futures contract for March delivery plunged by Rs 6,330, which translates to a substantial loss of 2.64 per cent. The trading session recorded a business turnover of 5,820 lots, indicating moderate activity amidst the downward trend.
Factors Driving the Decline
Weak Global Cues: International market trends have been unfavorable for precious metals, with factors such as fluctuating currency rates and economic uncertainties contributing to the bearish sentiment. This global weakness has directly impacted domestic silver prices, leading to the observed decline.
Thin Liquidity: Market liquidity has been thin, exacerbating the price movement. Reduced participation from traders and investors has created an environment where even minor shifts in demand or supply can lead to significant price changes, as seen in this instance.
Market Implications and Outlook
This drop in silver prices highlights the volatility in the commodities sector, particularly for precious metals. Investors and market analysts are closely monitoring global economic indicators and liquidity conditions to gauge future trends. The current scenario underscores the importance of staying informed about both domestic and international factors that influence commodity markets.
As of the latest update on 17 February 2026, the market remains cautious, with stakeholders awaiting further developments that could stabilize or further impact silver prices. The interplay between global cues and local market dynamics continues to be a critical factor in determining price movements in the near term.
