Mumbai (Maharashtra) [India], March 25 (ANI): Gold prices witnessed a rebound on Wednesday, but the overall trend remains under pressure as the yellow metal has corrected more than 13 percent so far in March amid global uncertainty and shifting investor sentiment.
Gold prices opened on Wednesday with a surge of more than 3 percent to Rs 143,339 per 10 grams for 24 karats. On the Multi Commodity Exchange (MCX), gold prices for 24 karats per 10 grams were at Rs 169,300 at the beginning of March on the 2nd. By March 25, prices had declined by 13.69 percent to Rs 144,339 per 10 grams, reflecting sustained selling pressure during the month.
Silver prices have seen an even sharper correction. Although silver surged more than 5 percent on Wednesday, opening at Rs 236,686 per kg on MCX, it has still corrected more than 20 percent so far this month. At the beginning of March on the 2nd, silver was trading at around Rs 296,000 per kg, which has now dropped significantly to Rs 236,686 per kg.
Market experts noted that despite the recent rebound, volatility in precious metals remains high.
Colin Shah, Managing Director of Kama Jewelry, said, “The recovery in gold prices today, breaking a brief phase of sharp correction, reflects the resilience of the yellow metal as a safe-haven asset. The recovery in gold prices is largely driven by cautious buying from the investor community as a hedge against geopolitical conditions triggering economic instability. While rising interest rates and a stronger U.S. dollar had a temporary impact, the underlying affinity and dominance of the yellow metal remain intact. Many use such opportunities and follow the ‘buy the dip’ pattern to book profits.”
He also cautioned that investors need to remain watchful of developments in West Asia and make decisions accordingly, as markets continue to face uncertainty.
Ponmudi R, CEO of Enrich Money, said, “MCX Gold opened with a gap up and is currently trading in the Rs 1,43,000–Rs 1,45,000 resistance band, indicating underlying buying interest despite some intraday volatility. Price action suggests resilience at higher levels, keeping the broader tone constructive.”
He added that Rs 1,48,000 remains a key resistance level, and a sustained move above it could push prices toward Rs 1,55,000–Rs 1,57,000. On the downside, support is placed at Rs 1,37,000–Rs 1,40,000, with further downside risk toward Rs 1,30,000–Rs 1,32,000 if these levels are breached.
Rajeev Sharan, Head of Research at Brickwork Ratings, said, “Commodity markets corrected sharply last week, with both oil and gold retreating from recent highs. International gold prices also dropped over 10 percent, marking the steepest weekly fall in decades, though they remain more than 40 percent higher year on year.”
He added that the moderation in gold and oil prices has provided temporary relief to the rupee, which had briefly slipped past 93 per U.S. dollar. However, risks remain due to a wide trade gap and elevated gold imports.
The recent movement in gold prices has been influenced by geopolitical developments, particularly the United States’ decision to suspend airstrikes on Iran’s energy infrastructure, raising hopes of easing tensions.
However, uncertainty persists as Iran has denied any direct or indirect talks, even as U.S. President Donald Trump has claimed that “very good and productive conversations” are underway.
Overall, while prices have shown some recovery, both gold and silver continue to remain under pressure amid global uncertainties and volatile market conditions. (ANI)
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