4 February 2026 Punjab Khabarnama Bureau : Gold prices climbed across major Indian cities on Thursday, reflecting strong global cues, sustained investor demand, and renewed interest in safe-haven assets. At the same time, silver prices witnessed a sharp surge, topping Rs 2.67 lakh per kilogram in several markets, marking one of the highest levels seen in recent times. The rally in precious metals has drawn the attention of investors, jewellers, and consumers alike.
In key cities such as Delhi, Mumbai, Chennai, Kolkata, and Bengaluru, gold rates recorded notable gains across both 22-carat and 24-carat categories. Jewellers attributed the upward movement to a combination of international price trends, a softer dollar, and continued buying ahead of the upcoming festive and wedding season. Global uncertainties and volatility in equity markets have further boosted the appeal of gold as a store of value.
Market participants noted that gold’s rise was supported by strong international prices, as investors sought safety amid concerns over global economic growth, geopolitical tensions, and expectations around interest rate movements by major central banks. When global risk sentiment weakens, gold often benefits due to its traditional status as a hedge against uncertainty and inflation.
Silver, meanwhile, outperformed gold in percentage terms, registering a sharp jump that took prices beyond Rs 2.67 lakh per kilogram in domestic markets. The rally in silver has been driven not only by investment demand but also by strong industrial consumption. Silver is a critical input in sectors such as electronics, solar energy, electric vehicles, and medical equipment, and growing demand from these industries has added momentum to prices.
Traders said silver’s dual role as both a precious metal and an industrial commodity makes it particularly sensitive to changes in economic outlook. With renewable energy projects and technological applications expanding globally, silver demand has remained robust, contributing to the recent price surge.
In Indian bullion markets, the rise in gold and silver prices has had a mixed impact on jewellery demand. While higher prices tend to dampen immediate buying by retail consumers, jewellers reported continued interest, especially in lightweight jewellery and investment-oriented products such as coins and bars. Many buyers are adopting a cautious approach, purchasing in smaller quantities while waiting for price stability.
Experts believe that the current rally may persist in the near term if global conditions remain uncertain. Factors such as central bank policies, inflation trends, currency movements, and geopolitical developments are expected to play a key role in determining the future direction of precious metal prices. Any signals of interest rate cuts by major economies could further support gold prices, as lower rates reduce the opportunity cost of holding non-yielding assets like gold.
From an investment perspective, analysts advise a balanced approach. While gold continues to be a preferred long-term hedge and portfolio stabiliser, the sharp rise in silver prices suggests increased volatility. Investors are being cautioned against aggressive short-term bets and are instead encouraged to align their investments with long-term financial goals.
The surge in bullion prices also has implications for India’s import bill, as the country is one of the world’s largest importers of gold and silver. Higher prices could impact trade dynamics and influence domestic policies related to precious metals. However, strong demand from both households and investors continues to underline the cultural and economic significance of gold in India.
Looking ahead, market watchers say that price movements will remain data-driven. Any developments related to global growth, inflation readings, or geopolitical stability could influence investor sentiment. For now, the upward trend in gold and silver underscores their continued relevance in times of uncertainty.
Overall, the climb in gold rates across major cities and silver’s move beyond Rs 2.67 lakh per kilogram highlight the renewed strength in the precious metals market. As investors navigate a complex global environment, gold and silver continue to shine as preferred assets for both security and diversification.
Summary:
Gold prices rose across major Indian cities while silver surged past Rs 2.67 lakh per kg, driven by global uncertainty, strong investment demand, and rising industrial consumption.