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New Delhi: In the morning, silver showed a shining record to the investors, but this shine did not last long. Sharp fluctuations in prices in the domestic and global markets became a topic of discussion for everyone, from common buyers to big investors. Internationally, silver had crossed $80 per ounce, which was considered a sign of strong demand. But sudden selling pushed the price below $75.
News of easing geopolitical tensions blunted the edge of safe-haven investments. Its effect was directly visible on MCX, where the prices came down in no time. This decline also affects families who look at jewelery as a source of savings and security. Experts are saying that this period reminds us of risks as well as opportunities.
The shine of silver fades within an hour
From small shopkeepers to wholesale silver buyers in cities like Rampur, Nainital or Delhi, everyone was eyeing the morning’s record price. But March futures on MCX fell from Rs 2,54,174 per kg to Rs 2,33,120. Even in the general bullion market, customers were seen calling the shops and asking for new rates. Such a huge fall after the boom surprised small investors. Experts believe that the sharp movements in prices may continue further.
The biggest reason for the decline
The biggest reason for the decline was profit booking. Investors who saw a rise of 181 percent in silver since the beginning of the year, suddenly started withdrawing profits. The demand for safe investments in the market decreased due to the news of peace talks. This also affects those middle class families who buy silver on festivals or family events. Decreased demand and selling pressure together brought down the prices.
Who had warned in advance?
Reliance Securities analyst Jigar Trivedi says that the level of Rs 2.4 lakh per kg can act as a strong support in the short term. However, American firms like BTIG have cautioned that such a sharp increase in prices does not seem sustainable in the long run. Experts believe that the market is showing positive signs, but major shocks are also possible. This warning is especially important for those who make big purchases or investments without planning.
I remembered the history
History also draws a line of fear. In 1979-80, after touching the sky, silver fell by 90 percent. Even in 2011, it had fallen by more than 75 percent. Manish Banthia believes that a great rally is often not silent. Silver has increased almost three times in the last 12 months, so the possibility of a sharp fall cannot be ignored. Both common buyers and investors should proceed only after understanding the signals behind the prices.
relief to common people
Common people buying wedding gifts, puja silver or coins are seeing this decline as an opportunity. But market experts advise to maintain balance and patience while shopping. Even people who have small savings are now considering it necessary to seek expert advice before investing. This movement in prices is not only a fall, but also an alarm of caution. Silver is still attractive, but taking action without a plan can prove costly.
