Gold prices edged higher to ₹1,30,638 per 10 grams while silver futures eased to ₹1,82,600 per kg on Monday as investors turned cautious ahead of the US Federal Reserve's final policy meeting of the year.
On the Multi Commodity Exchange (MCX), gold futures for February 2026 contract increased by ₹176, or 0.13%, to ₹1,30,638 per 10 grams in a business turnover of 13,134 lots.
Last week, the precious metal appreciated by ₹958, or 0.74%. However, silver futures depreciated by ₹808, or 0.44%, to ₹1,82,600 per kilogram in 14,281 lots.
1 December 2025
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On Friday, the white metal had surged by ₹7,096, or 3.98%, to hit a record of ₹1,85,234 per kilogram, before settling at ₹1,83,408 per kg on the MCX.
Over the past week, silver had skyrocketed by ₹8,427, or 4.81%.
"Silver, which rose more than 3% last week, saw some early-week profit-taking but remains underpinned by tightening inventories in London and China and a structural deficit expected to persist into 2026," Manav Modi, Analyst – Precious Metal -Research, Motilal Oswal Financial Services Ltd, said.
He added that strong industrial demand, sustained safe-haven flows, and highest weekly Exchange Traded Fund (ETF) inflows since July have reinforced bullish momentum in the white metal.
"Overall, precious metals traded firm as markets increasingly priced in imminent Fed easing heading into the final policy meeting of the year," Modi added.
In the international markets, gold held steady as investors are awaiting the Federal Reserve's decision on interest rates. On the Comex, gold futures for February delivery were trading flat at $4,244.2 per ounce.
The precious metal eased by $11.9, or 0.28%, in the last week.
"Gold prices hovered near $4,200 per ounce, stabilising after a mild weekly decline, as traders awaited the Federal Reserve's final policy meeting of the year, where officials are widely expected to cut interest rates," Jigar Trivedi, Senior Research Analyst at Reliance Securities, said.
According to Trivedi, market participants are pricing an 88% probability of a 25 basis points rate cut, with expectations of two more reductions next year.
Comex silver futures for March 2026 contract fell 0.54%, to $58.73 per ounce.
On Friday, the white metal had soared by $2.4, or 4.19%, to hit a lifetime high of $59.90 per ounce.
In the past week, silver futures had risen by $1.89, or 3.30%.
Manav Modi of Motilal Oswal Financial Services said investors this week will focus not only on the last Fed's policy meeting, but also on US factory orders and other crucial macroeconomic data.
However, traders will remain cautious until Federal Reserve Chair Jerome Powell's speech, as any shift in tone could trigger volatility in bullion prices, he noted.
