MUMBAI, Jan 14, 2026, 20:20 IST
- MCX silver crossed ₹2.90 lakh/kg, with gold touching ₹1.43 lakh per 10 grams in fresh records
- Spot silver hit a record $92.23/oz; gold touched $4,641.40/oz as rate-cut bets firmed up
- Analysts warn the silver rally can reverse fast; retail interest is surging
Silver prices in India hit new highs on Wednesday, with the March contract on the Multi Commodity Exchange (MCX) crossing ₹2.90 lakh per kilogram and edging closer to the ₹3 lakh mark. Gold on MCX also touched a record ₹1,43,017 per 10 grams. Livemint
The surge matters now because it is no longer just a jewellery-and-industry story. Investors have latched onto precious metals as a rate trade and a hedge, betting that U.S. interest rates will fall as inflation cools and uncertainty lingers.
The speed has been the attention-grabber. The MCX March silver contract hit ₹2,90,800, and the climb from ₹2 lakh to nearly ₹3 lakh took just weeks, according to the Mint report.
Overseas, the rally is even starker. Spot gold hit a record $4,641.40 an ounce and spot silver climbed to a record $92.23, Reuters reported, with other precious metals also higher. “All roads are leading to gold and silver,” Alex Ebkarian, chief operating officer at Allegiance Gold, said. Reuters
U.S. inflation data has been the latest tailwind. Core consumer prices rose 0.2% in December and were up 2.6% from a year earlier, while the headline CPI rose 0.3% on the month and 2.7% year-on-year, a Reuters report on the data showed. Reuters
Lower rates typically help bullion because it pays no interest. Markets are also watching the Federal Reserve closely amid renewed debate over its independence and fresh geopolitical strains, which have kept demand firm for assets that investors see as a store of value.
The moves are forcing exchanges to respond. CME Group, which owns the COMEX precious metals contracts, said it will adjust margin settings — the cash traders must post to hold positions — to address the volatility, Reuters reported. Reuters
But the same speed that pulls buyers in can turn into a trap. Shantanu Bhargava, CEO of HNI Digital Advisory and Managed Solutions at Neo Wealth Management, warned that silver’s “dual role” as an industrial commodity and a monetary asset makes it a high-beta trade — it can rise faster than gold, then fall harder.
Bhargava pointed to futures open interest — the number of outstanding contracts — at 165,805, up 18% year on year, and a 238% jump in retail micro contracts, a sign of late-cycle positioning. He pegged a “fundamental floor” around $61 an ounce under a stress scenario, but said past liquidity flushes have dragged prices into the $25-$30 range.
Other traders struck the same note, in plainer language. Hugo Pascal, a precious metals trader at InProved, said technical indicators were “screaming correction” even as bullish options activity kept flowing, and told investors to brace for sharp countermoves.
The retail noise is rising too. Robert Kiyosaki, author of “Rich Dad Poor Dad,” wrote that silver was “peaking” and predicted a major pullback, even as he said he would keep buying silver up to $100 an ounce and “wait.” Indiatimes
Silver’s run has been powered by more than fear. The metal jumped almost 150% last year, helped by a short squeeze — when traders betting against a price are forced to buy back — and tight supply in London, according to the Mint report.
The next test is whether prices this high start to bite into physical demand, especially in India. Traders will be watching the next round of U.S. data and central bank signals, but silver’s own volatility may be the bigger headline.
