Today, the gold and silver markets witnessed significant price drops, surprising both investors and traders. As of February 1, 2026, 24-carat gold is trading around ₹1,38,600 per 10 grams, while silver prices have fallen between ₹2,65,000 and ₹3,10,000 per kilogram. The sudden decline comes in response to Union Budget 2026 announcements and global market reactions. Investors are closely monitoring fluctuations in precious metal prices as economic factors, including inflation and currency movement, continue to influence the metal markets. Many analysts believe this could present short-term buying opportunities for traders looking for stable returns.
| Metal | Purity | Price | Unit | Trend |
|---|---|---|---|---|
| Gold | 24 Carat | ₹1,38,600 | per 10g | ⬇ Falling |
| Gold | 22 Carat | ₹1,30,000 | per 10g | ⬇ Slight Drop |
| Silver | 99.9% Pure | ₹2,85,000 | per kg | ⬇ Volatile |
Prices vary by city and jeweller; include taxes and making charges.
1. Gold Prices See Major Decline
Gold prices dropped significantly today, with 24-carat gold trading at approximately ₹1,38,600 per 10 grams. This marks a notable dip from the previous day’s levels. The 22-carat variety is currently priced between ₹1,28,500 and ₹1,31,000, depending on the city and market. Analysts attribute this fall to strong US dollar performance and reduced demand from investors due to market uncertainties after the Union Budget 2026. Many believe that gold may remain volatile for a few more days as traders adjust to the changing financial outlook.
2. Silver Prices Fall Below ₹3 Lakh
Silver, often considered a poor man’s gold, also experienced a sharp price drop. Current rates are averaging between ₹2,65,000 and ₹3,10,000 per kilogram across major Indian cities. The dip was primarily influenced by profit booking and weak international cues. Industrial demand for silver has also shown signs of slowing down, further impacting the price. However, some experts predict that silver could regain strength if global manufacturing and electronics demand improve in the coming months.
3. Impact of Union Budget 2026 on Precious Metals
The Union Budget 2026 had a noticeable impact on commodity markets. The announcement of policies affecting import duties, inflation rates, and fiscal deficit led to increased volatility in gold and silver prices. Traders are still assessing the long-term effects of the budget on precious metals. Many investors shifted their funds temporarily to safer assets, causing a short-term decline in gold and silver demand. The coming weeks will determine whether prices stabilize or continue to fluctuate.
4. Expert Opinions and Future Trends
Market experts suggest this drop might be temporary and could open new opportunities for long-term investors. Precious metals often act as a hedge against inflation, and with global economic uncertainties persisting, gold and silver may regain value soon. Experts recommend waiting for market stability before making large investments. As international markets react to policy shifts, these metals could see gradual recovery.
Conclusion
Today’s gold and silver price drop reflects the market’s immediate reaction to the Union Budget and global conditions. While the decline has created short-term challenges for investors, it also offers potential buying opportunities.
