Silver prices staged a powerful comeback on Tuesday, December 30, after suffering their most severe single-day collapse in half a decade. The white metal, which had plunged dramatically on Monday as investors rushed to book profits, found fresh buying interest in both domestic and international markets.
Sharp Recovery in Domestic and Global Markets
In Indian markets, silver prices jumped by approximately 4% in the spot and futures segments. The rally was even more pronounced on the global stage, with prices on the COMEX rising 5% to reach $73.995 per ounce. However, this level remains notably lower than the all-time peak of $84.0 recorded in the previous session, highlighting the extreme volatility witnessed recently.
Analysts attributed the sharp swings to a combination of aggressive profit-taking and holiday-thinned liquidity, which amplified price movements. The metal's spectacular run-up of nearly 180% this year had made it particularly vulnerable to corrections at elevated levels, despite underlying supportive factors.
Silver Rate Today in Key Indian Cities
According to data from bullions.co.in, the physical retail market in Delhi quoted specific rates as of December 30. The silver rate today in Delhi for a 10 gm coin was ₹2,325. For larger denominations, the price for a 100 gm coin stood at ₹23,691, while a 1 kg bar was valued at ₹232,480.
Rates varied slightly across other major Indian cities as of 10:30 PM on December 30:
- Mumbai: ₹2,335 (10 gm), ₹23,351 (100 gm), ₹233,510 (1 kg)
- Chennai: ₹2,342 (10 gm), ₹23,419 (100 gm), ₹234,190 (1 kg)
- Kolkata: ₹2,332 (10 gm), ₹23,320 (100 gm), ₹233,200 (1 kg)
- Bengaluru: ₹2,337 (10 gm), ₹23,369 (100 gm), ₹233,690 (1 kg)
- Hyderabad: ₹2,339 (10 gm), ₹23,388 (100 gm), ₹233,880 (1 kg)
- Jaipur: ₹2,335 (10 gm), ₹23,348 (100 gm), ₹233,480 (1 kg)
Expert View: Structural Bullishness vs. Short-Term Volatility
Jigar Trivedi, Senior Research Analyst at Reliance Securities, provided insight into the conflicting forces at play. He noted that while near-term volatility is expected due to profit-booking and regulatory changes, the long-term outlook for silver remains underpinned by strong fundamentals.
Trivedi pointed to persistent structural supply constraints and robust industrial demand from sectors like solar energy, electronics, and data centre infrastructure as key supportive pillars. However, he expects stricter margin rules to moderate price gains in the immediate future. The CME's decision to raise margin requirements on silver futures will compel leveraged traders to reduce their exposure after prices became technically overstretched.
Commenting on the price trajectory, Trivedi stated that Silver March futures could appreciate to ₹226,000 per kg, as the overall undertone in international markets stays bullish. This suggests that the recent sell-off may be a correction within a larger structural uptrend rather than the bursting of a bubble.
Disclaimer: This story is for educational purposes only. The views and recommendations above are those of individual analysts or broking companies. Investors are advised to consult certified experts before making any investment decisions.
