Gold, Silver Rates Today: Precious Metals Extend Slide; Gold Down 3%, Silver Falls 3.7%

Gold and silver prices in India continued their slide on February 2, 2026, as precious metals markets responded to profit-booking, global sell-offs, and uncertainties surrounding the Union Budget 2026 presented by Finance Minister Nirmala Sitharaman. Investors tracked sharp corrections after recent record highs in bullion, with both metals moving lower for multiple sessions.

Market Downturn: Key Movements

Gold prices dipped approximately 3% on the day, reflecting sustained selling pressure following recent rallies and profit-taking by traders. Silver futures saw a steeper slide, with prices falling nearly 6%–9%, hitting lower circuit limits on the Multi Commodity Exchange (MCX) as traders unloaded positions. Market participants highlighted profit-booking at elevated price levels and global cues—such as a firmer US dollar and reduced safe-haven demand—as key drivers of the downturn.

City-wise Price Trends

Though gold and silver prices have eased in recent sessions, bullion in major Indian cities continues to trade at high absolute levels compared to a few weeks ago. Prices in Chennai, Delhi, Mumbai and Kolkata reflect ongoing volatility across regional markets.

What’s Behind the Slide?

Analysts point to several factors contributing to the price correction:

Profit Booking: After sharp rallies earlier in the year, traders are locking in gains, leading to selling pressure. Global Market Signals: A stronger US dollar and higher yields abroad weigh on precious metal prices. Budget Uncertainty: Ahead of and during the Union Budget, bullion markets tend to react to speculation about import duties and tax changes affecting demand.

Investor Perspective

Despite near-term volatility, some market analysts remain cautious but optimistic over the medium term, suggesting that corrections may offer buying opportunities for long-term investors once macroeconomic conditions stabilize.