Silver prices decline from ₹2.47 lakh to ₹2.44 lakh per kg, while 24-carat gold falls to ₹1,59,578 per 10 grams; here’s why prices differ across cities and how investors can use ETFs
New Delhi (Economy India): Gold and silver prices witnessed a decline during the week, with silver falling by ₹2,738 per kilogram and gold prices also moving lower, according to data from the India Bullion and Jewellers Association (IBJA).
Silver prices declined to around ₹2.44 lakh per kg, compared with approximately ₹2.47 lakh per kg on August 21.
Gold also witnessed a weekly decline. The price of 10 grams of 24-carat gold fell from ₹1,60,620 to ₹1,59,578, marking a decline of ₹1,042.
The latest movement highlights the volatility seen in precious metal prices this year, with both gold and silver having moved sharply from their levels at the end of 2025.
Silver Falls ₹2,738 in a Week
According to IBJA data, silver prices declined by ₹2,738 per kg during the week.
The precious metal was trading at around ₹2.47 lakh per kg on August 21 before declining to approximately ₹2.44 lakh per kg.
Despite the weekly fall, silver continues to trade at significantly higher levels compared with its price at the end of 2025.
Silver had ended December 2025 at around ₹2.30 lakh per kg before rising sharply in the following months.
Gold Prices Also Decline
Gold prices also recorded a decline during the week.
The price of 10 grams of 24-carat gold fell from ₹1,60,620 to ₹1,59,578, resulting in a weekly decline of ₹1,042.
Gold prices have experienced considerable volatility in 2026, moving between periods of sharp gains and corrections.
Investors and consumers are closely tracking the movement as gold remains one of India’s most popular traditional investment and savings assets.
Silver Still Far Below Its Record High
Although silver has declined this week, it remains well above its December 2025 level.
On December 31, 2025, silver was priced at around ₹2.30 lakh per kg. The metal subsequently climbed to an all-time high of approximately ₹3.86 lakh per kg on January 29.
From that record level, silver has now declined by around ₹1.42 lakh per kg.
The substantial correction demonstrates the high volatility associated with the precious metal market.
Gold Also Corrects From Its Peak
Gold witnessed a similar pattern.
The price of gold was around ₹1.33 lakh per 10 grams on December 31, 2025. It subsequently climbed to approximately ₹1.76 lakh per 10 grams on January 29, marking a significant rise.
Since that peak, gold has declined by around ₹16,543 per 10 grams based on the figures provided.
Despite the correction, gold remains considerably higher than its December 2025 level.
Why Gold Prices Differ From City to City
Consumers often notice that gold prices can vary from one city to another. Several factors contribute to these differences.
1. Transportation and Security Costs
Gold has to be transported from one location to another, and the process involves logistics, insurance and security expenses.
Transportation costs can therefore influence the final price quoted by jewellers in different cities.
2. Local Demand and Purchase Volumes
Demand for gold differs significantly across regions.
Southern India, for example, accounts for a substantial share of India’s jewellery consumption. Large purchase volumes can influence procurement patterns and the pricing offered by local jewellers.
3. Local Jewellery Associations
Local jewellery markets can also have their own pricing practices.
Jewellery associations and market participants consider local demand and supply conditions while determining prevailing market rates.
4. Existing Inventory and Purchase Cost
The price at which a jeweller purchased existing inventory can also influence the price quoted to customers.
Older stock bought at a different market price may result in variations between jewellers and cities.
Gold and Silver ETFs Offer an Investment Route
Investors who want exposure to gold and silver without physically purchasing bars or jewellery can consider Exchange Traded Funds (ETFs).
Gold ETFs and silver ETFs are designed to track the prices of the respective precious metals and can be bought and sold on stock exchanges in a manner similar to shares.
However, investors do not receive physical gold or silver when they buy ETF units. Instead, the value of their investment moves broadly in line with the underlying precious metal.
ETFs can therefore provide investors with a relatively convenient way to gain exposure to precious metals without dealing with physical storage and security.
How to Invest in Gold or Silver ETFs
To invest in ETFs, an investor generally needs a demat and trading account with a broker.
The basic process involves:
- Open a demat and trading account with a registered broker.
- Search for the desired gold or silver ETF available on the exchange.
- Place a buy order through the trading platform.
- The purchase amount is debited from the linked account.
- ETF units are credited to the investor’s demat account after settlement.
- The units can later be sold through the trading account.
The minimum investment depends on the market price of the particular ETF unit and the broker’s applicable requirements.
What to Check Before Buying Physical Gold
Consumers purchasing gold jewellery or other physical gold products should pay attention to authenticity and pricing.
Buy BIS-Hallmarked Gold
Always check for BIS hallmarking when purchasing eligible gold jewellery.
The hallmark provides information about the purity of the gold. Consumers should check the hallmark and associated identification details before completing a purchase.
Cross-Check the Gold Price
Before purchasing, consumers should compare the prevailing gold rate from reliable bullion-market sources with the price quoted by the jeweller.
It is also important to understand that 24-carat, 22-carat and 18-carat gold have different prices because their purity levels differ.
Consumers should also check making charges, taxes and other applicable costs rather than comparing only the headline gold rate.
How to Check Silver Before Buying
Consumers should also take precautions when purchasing physical silver.
Some commonly discussed traditional checks include the magnet and ice tests. However, simple home tests cannot conclusively establish the purity of silver.
A magnet test may help identify some non-silver metals, but it is not sufficient to certify genuine silver. Similarly, ice, smell or cloth tests should not be treated as definitive proof of purity.
For a reliable assessment, consumers should look for appropriate purity markings, certification and a trustworthy seller, and consider professional testing when the value of the purchase is significant.
Gold vs Silver: What the Latest Numbers Show
| Precious Metal | December 31, 2025 | January 29, 2026 | Current Level | Weekly Change |
|---|---|---|---|---|
| Gold, 24K/10g | ₹1.33 lakh | ₹1.76 lakh | ₹1,59,578 | -₹1,042 |
| Silver/kg | ₹2.30 lakh | ₹3.86 lakh | ₹2.44 lakh | -₹2,738 |
Prices are based on the figures provided and may differ from retail jewellery prices, which can include making charges, taxes and other costs.
What Should Consumers Keep in Mind?
Gold and silver prices can change frequently in response to domestic and international market conditions.
Retail prices can also differ from benchmark bullion prices because of factors such as:
- Purity and product form
- Making charges
- GST and other applicable taxes
- Local market conditions
- Transportation and security costs
- Jeweller margins
- Existing inventory costs
Therefore, consumers should compare the total purchase price, rather than relying only on the quoted bullion rate.
(Economy India)
