Gold and silver prices hit fresh highs on Monday, amidst growing global tensions involving the US, Iran and Venezuela, besides the recent job data released in the US.
The rise was despite measures undertaken by the US-based CME Group to discourage traders from going short. The CME Group, which operates major derivatives exchanges such as CME, COMEX, CBOT and NYMEX, raised the margins for silver at least twice last month and once for gold, platinum and palladium.
Taking a cue from global markets, the yellow metal price in the domestic spot markets increased by ₹3,327 on Monday, to ₹1,40,449 per 10 gm against ₹1,37,122 on Friday, according to the India Bullion and Jewellers Association data.
Spot silver jumped by ₹13,968 to ₹2,56,776 per kg against ₹2,42,808 during the weekend. On MCX, gold for February delivery surged 2 per cent or ₹3,171 to ₹1,41,990 per 10 gm compared to ₹1,38,819 per 10 gm at the previous close.
Similarly, silver for March delivery zoomed six per cent or ₹15,156 to ₹2,67,881 a kg against ₹2,52,725/kg during the weekend.
Powell’s statement
The sharp rise in gold and silver prices came after the US Fed Chair Jerome Powell said the Central bank had been served grand jury subpoenas from the Justice Department related to his June congressional testimony on renovations of the Fed’s headquarters.
This led the US dollar to retreat from its strongest in a month early on Monday. The dollar index, which measures the dollar strength against a basket of six currencies, dipped 0.3 per cent to 98.899, snapping a five-day winning streak.
Jateen Trivedi, VP Research Analyst – Commodity and Currency, LKP Securities, said the Comex gold jumped by about $80 to around $4,590 an ounce, driven by heightened geopolitical risk premiums amid escalating tensions involving the US, Venezuela and now Iran, which has revived strong safe-haven demand.
The week ahead remains data-heavy, with CPI inflation numbers from both the US and India likely to influence the Federal Reserve’s outlook and rupee movement, keeping bullion momentum elevated, he said.
Buyer-driven momentum
Ponmudi R, CEO of Enrich Money, said the current consolidation in gold appears to be healthy profit-taking rather than trend weakness, offering structured entry opportunities. Persistent haven demand, Central-bank accumulation, and expectations of accommodative global policy continue to act as key bullish drivers for gold, he said.
COMEX Silver was trading firm near $83, after marking a lifetime high, and remains well above its short- and medium-term moving averages following a decisive breakout from consolidation. Momentum continues to be buyer-driven, supported by rising industrial demand from solar, EVs, AI, and electronics, alongside sustained safe-haven flows, he said.
Renisha Chainani, head of research at Augmont, said the fresh rally was driven by a mix of rising geopolitical tensions and growing expectations that the US Federal Reserve will be forced to cut interest rates further.
Last week, gold ended up nearly 4 per cent, while silver jumped sharply by 12 per cent, as markets reacted to weaker-than-expected US jobs data and an increasingly uncertain global backdrop.
The next level to watch for in gold is of $4,745-50 (78.6 per cent fibbonnicci extension) and $4,966-70 (100 per cent fibbonnicci extension), she said.
The silver rally started from $45 in October and extended up to $82.7 in December 2025. Fibonacci extension suggests that this rally can extend further towards $84, $88, $93 and $99 in the coming few months of 2026 with strong support at $70, Chainani said.
Published on January 12, 2026
