Gold prices have significantly declined to ₹128,000 per 10 grams during the Diwali celebrations on Tuesday, October 21, 2025. The rates fell by 2% in the morning trading session on the Multi Commodity Exchange (MCX). As of 3:28 p.m. IST, the December 2025 gold futures showed a decrease of ₹271 per 10 grams, reflecting a total drop from the previous closing rate of ₹128,271 per 10 grams.
Silver Prices Decline
Alongside gold, silver prices also experienced a downturn. The MCX silver futures for December 2025 dropped by ₹327 per kilogram, settling at ₹150,000 per kilogram. This decrease marked a fall from the previous day’s closing price of ₹150,327 per kilogram.
Market Drivers Behind the Decline
The decline in gold prices has been attributed to several factors. Investors have begun booking profits after a post-Diwali rally. A stronger US dollar amidst ongoing trade tensions between the United States and China has further pressured gold and silver markets.
- Gold futures settled at ₹127,320 per 10 grams in morning trade.
- Profit booking by investors contributing to decreased demand.
- Geopolitical factors influencing investors toward higher-risk assets.
Global Gold Market Trends
Internationally, gold prices have fallen sharply. According to reports, global spot gold prices decreased by 6.3%, reaching $4,082.03 per ounce. Similarly, global spot silver prices fell by 8.7%, now standing at $47.89 per ounce. The Comex gold futures also saw a decline of 5.66%, priced at $4,112.70 as of early morning Central Time.
Outlook for Investors
Despite the recent drop, experts suggest that gold remains a solid investment option for diversification. Ross Maxwell, Global Strategy Lead at VT Markets, noted that while the market faces volatility, there are underlying bullish factors for gold prices to consider. Investors need to exercise prudent risk management to navigate this fluctuating market environment.
As market conditions evolve, it is crucial for investors to stay informed and consult with financial experts before making any investment decisions.
