Gold and Silver Prices See Sharp Decline Ahead of Union Budget 2026
Gold and silver prices fell during Union Budget 2026 updates. Check city-wise rates, market trends, and understand what this decline means for investors today.
Gold and silver prices fell during Union Budget 2026 updates. Check city-wise rates, market trends, and understand what this decline means for investors today.
As India prepares for the Union Budget 2026, investors are witnessing a significant correction in gold and silver prices. This sudden dip comes after a week of record highs, reflecting a mix of global market shifts and profit booking.
Current Gold and Silver Rates Across Key Cities
In major metro cities, gold rates for 24 Karat per 10 grams are:
- Delhi: ₹1,69,470
- Mumbai: ₹1,69,300
- Bengaluru: ₹1,69,300
- Kolkata: ₹1,69,310
- Chennai: ₹1,73,010
- Pune: ₹1,69,350
- Surat: ₹1,69,300
Silver rates per kilogram stand at:
- Delhi: ₹4,11,900
- Mumbai: ₹4,10,900
- Bengaluru: ₹4,05,900
- Kolkata: ₹4,06,900
- Chennai: ₹4,18,900
- Pune: ₹4,12,900
- Surat: ₹4,13,900
These prices reflect a moderate stabilization after the sharp correction on Friday, where gold plunged ₹14,000 per 10 grams and silver fell ₹20,000 per kilogram following an all-time high.
Why Prices Are Falling
The drop in gold and silver prices is largely attributed to investors booking profits after recent highs. Global market trends, including fluctuations in international bullion markets, have also influenced domestic rates.
Equity market weaknesses have historically driven Indian investors toward precious metals as safe havens. This year, gold surged to record highs, prompting rapid corrections once investors decided to realize gains.
Budget 2026 Influence
The anticipation of Union Budget 2026 announcements also plays a crucial role in these fluctuations. With fiscal policies and market regulations expected to be outlined, investors are cautious. The Budget speech by Finance Minister Nirmala Sitharaman, starting on Sunday at 11 AM on February 1, 2026, is widely expected to influence market behavior further.
Gold and silver prices are often sensitive to fiscal and economic policy changes, making the Budget period critical for traders and investors alike.
Market Outlook
Analysts suggest that while the correction is significant, long-term prospects for gold and silver remain stable due to global uncertainties and domestic demand. Investors are advised to monitor market trends closely, especially around key announcements in Budget 2026.