Gold prices soared to a new high in the global and Indian markets, with the yellow metal topping $4,850 an ounce on Wednesday. Silver continued to rule firm around $95 an ounce as the precious metals complex continued to shine on increasing geopolitical tensions, particularly between the US and Europe over Greenland.
In India, the yellow metal ended at ₹1,54,227 per 10 gm in the Mumbai spot market. On MCX, February futures ruled at ₹1,57,582.
In the global market, gold was quoted at $4,855 announce at 1950 hours IST after having ruled over $4,870 at one point in time. On COMEX, February futures quoted at $4,854.65.
Silver went past $95 an ounce again before quoting at $94.23. March futures of the white precious metal on COMEX were ruling at $94.150.
Markets unsettled
In the Mumbai spot market, it closed at ₹3,19,097 a kg. On MCX, March futures quoted at ₹3,32,462 after touching a high of ₹3,35,521.
Platinum topped $2,500 an ounce and was quoted at $2,508, while palladium ruled at $1,905.5 an ounce. Gold has gained 12.5 per cent since the beginning of this year, while silver has increased by over 32.5 per cent.
Colin Shah, MD, Kama Jewelry, said the markets have been unsettled by Trump’s renewed interest in buying Greenland. The US plans to impose 10 per cent tariffs from February 1 on eight European countries, including France, Germany, and the UK, with the possibility of the tariffs rising to 25% by June.
“This current surge in gold and silver prices is largely driven by the global uncertainty and geopolitical tensions, which are pushing investors towards gold as a haven,” he said.
Renisha Chainani, head of research at Augmont, said investors are closely watching Europe’s response to the tariff threat against eight nations opposing the move, as well as developments from Davos, where Trump is expected to discuss the issue with global leaders.
Consumers may turn cautious
“Against this backdrop of rising geopolitical risk and macro uncertainty, gold demand has strengthened sharply, with prices potentially extending their rally toward $5,000/oz as risk-off sentiment persists,” she said.
Shah said the current volatility may continue in the near term, but higher prices could make consumers more cautious, especially in price-sensitive segments of the jewellery market.
“Globally, this could impact both exports and buyers, particularly for gold, as end-consumers may rethink their purchases,” he said.
Published on January 21, 2026
