Bullion Prices See Sudden Correction
Gold prices, which had surged without restraint for weeks, have now witnessed a sharp decline. Developments in the international market triggered this correction. As a result, domestic bullion markets, especially in Hyderabad, saw prices drop significantly.
Over the past two days, both gold and silver prices have moved downward. This shift has offered temporary relief to consumers who struggled with record-high rates earlier.
Global Factors Drive Market Volatility
Several global factors have influenced the sudden fall in bullion prices. The strengthening of the US dollar has reduced demand for precious metals. At the same time, changing expectations around global interest rates have unsettled commodity markets.
In addition, economic uncertainty in overseas markets and inflationary pressures have added to volatility. Therefore, investors have begun shifting funds away from gold and silver toward other assets.
Sharp Fall Shocks Investors
In a single day, the price of gold dropped sharply, creating concern among investors. The steep fall came after prices touched record highs in recent sessions. Because of this sudden reversal, the bullion market witnessed heavy fluctuations.
Currently, the price of 24-carat gold stands at ₹1,49,653 for 10 grams. Meanwhile, the sharp correction has disrupted earlier bullish sentiment in the market.
Silver Prices Also Decline Heavily
Silver prices have followed the same trend as gold. Within a day, the price of silver dropped steeply. At present, silver is trading at ₹2,91,922 per kilogram.
The recent fall comes after silver reached its highest levels in history. Therefore, the sudden decline has surprised both traders and long-term investors.
Hyderabad and Telugu States See Similar Rates
In the Hyderabad bullion market, 22-carat gold dropped by ₹2,100 to reach ₹1,41,450 per 10 grams. Similarly, 24-carat gold fell by ₹2,290 and now trades at ₹1,54,310.
Silver prices also declined by nearly ₹5,000 per kilogram. As a result, the current rate stands at ₹3,39,900 per kg. Telugu states continue to see similar prices, while Chennai and Vijayawada follow the same trend. Meanwhile, Mumbai reports slightly lower silver rates.
Investors Book Profits at Record Levels
The recent price fall follows aggressive profit booking by investors. Over the past few days, bullion prices have climbed to unprecedented levels. Therefore, many investors chose to exit at peak rates.
At the same time, expectations of tighter monetary policy in the US have strengthened the dollar. This development has reduced the appeal of gold as a safe-haven asset.
Festive Season May Influence Prices Ahead
From February, the auspicious Magha month begins. This period usually sees a rise in weddings and ceremonial events. Because of this, market participants expect demand to rise again.
However, experts anticipate continued fluctuations in the coming days. Therefore, buyers and investors remain cautious despite the current relief in prices.
Outlook Remains Uncertain
Gold and silver prices continue to react sharply to global developments. Changes in US monetary policy, dollar strength, and investor sentiment will likely decide the next trend.
Overall, while the recent fall has eased pressure on buyers, volatility in bullion markets is expected to continue in the near term.
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