Silver prices in India witnessed a significant upward movement on Friday, January 6, driven by strong global cues and escalating geopolitical tensions. Market experts attribute the rally to the heightened uncertainty following recent military actions by the United States against Venezuela, marking Washington's most direct intervention in Latin America in decades.
Domestic and International Market Performance
On the Multi Commodity Exchange (MCX), the silver rate today is trading close to the immediate resistance level of ₹2,50,000 per kilogram. Analysts suggest that if this barrier is breached, the white metal could soon aim for the ₹2,55,000 per kg mark. This bullish trend is mirrored in international markets, where COMEX silver is trading up by over one per cent, quoting near its hurdle at $78 per ounce. Experts predict that a break above this level could propel prices towards $82 and $85 respectively.
Silver Rate Today in Key Indian Cities
In the physical retail markets across India, prices varied slightly from city to city as of 10:50 AM on January 6. The data, sourced from bullions.co.in, presents the following snapshot for 10 gm, 100 gm, and 1 kg denominations:
Delhi: ₹2,497 (10 gm), ₹24,966 (100 gm), ₹2,49,660 (1 kg bar)
Mumbai: ₹2,498 (10 gm), ₹24,977 (100 gm), ₹2,49,770 (1 kg)
Chennai: ₹2,505 (10 gm), ₹25,050 (100 gm), ₹2,50,500 (1 kg)
Kolkata: ₹2,494 (10 gm), ₹24,944 (100 gm), ₹2,49,440 (1 kg)
Bengaluru: ₹2,500 (10 gm), ₹24,997 (100 gm), ₹2,49,970 (1 kg)
Hyderabad: ₹2,502 (10 gm), ₹25,017 (100 gm), ₹2,50,170 (1 kg)
Other cities like Jaipur, Nashik, Rajkot, and Pune also reported similar high rates, with prices for 1 kg bars hovering around the ₹2.5 lakh mark.
What is Driving the Silver Rally?
The primary catalyst for the silver price increase today is the geopolitical tension stemming from the US-Venezuela conflict, which has spurred safe-haven demand for precious metals. This event adds to an already bullish backdrop for silver, which witnessed an astonishing surge of nearly 150% in the previous year. The 2023 rally was fueled by a confluence of factors including persistent supply constraints, robust demand from both industrial and investment sectors, and a supportive macroeconomic environment.
The current market dynamics indicate that silver is being viewed as a dual-purpose asset: a hedge against geopolitical instability and a key industrial commodity. Investors and traders are closely monitoring the resistance levels on both domestic and international platforms for the next directional move.
Disclaimer: This article is for informational purposes only. The views and recommendations mentioned are those of individual analysts or broking firms. Readers are strongly advised to consult with certified investment experts before making any financial decisions.
