Gold and silver prices declined across major Indian cities on Friday, January 9, as a stronger US dollar and easing safe-haven demand weighed on bullion sentiment. Market participants attributed the weakness to currency movements and global cues, though experts view this as a temporary pause rather than a trend reversal.

Current Market Performance

In the domestic market, precious metals showed mixed signals with both commodities facing downward pressure.

Jateen Trivedi, VP–Research (Commodity and Currency) at LKP Securities, noted that gold on the MCX slipped even as international prices remained relatively steady. He attributed the domestic weakness to rupee volatility pressuring bullion markets, while global signals stayed mixed.

Near-Term Outlook and Volatility Factors

Trivedi expects continued volatility in the coming week, driven by key US economic data releases. The upcoming calendar includes ADP employment numbers and non-farm payrolls, which often influence expectations around interest rates and dollar strength. For the next few sessions, gold is expected to trade in a volatile range of ₹1.35 lakh–₹1.38 lakh per 10 grams.

Silver's Resilient Performance

Despite Friday's softness, silver maintained a stronger undertone compared to gold. A January 2026 outlook by Tata Mutual Fund highlighted silver's exceptional performance, emerging as the top-performing commodity of 2025 with approximately 161.00% year-on-year growth.

Long-Term Market Projections

Prithviraj Kothari, Managing Director at RiddiSiddhi Bullions and President of the India Bullion and Jewellers Association, remains constructive on precious metals despite short-term corrections. He expects intermittent consolidation after the sharp rally but maintains a positive broader trend outlook.

Kothari's price targets over the next year include:

These projections are supported by expected rate cuts, sustained central-bank buying, and fiscal concerns for gold, while silver benefits from industrial demand and tight supply conditions.

Investment Strategy Recommendations

Experts advise against waiting for perfect entry points, instead recommending staggered or SIP-style investing in precious metals to manage timing risk during volatile phases. They emphasize focusing on fundamentals rather than short-term price movements, noting that persistent inflation risks, geopolitical tensions, and currency fluctuations continue to strengthen the long-term investment case for precious metals. However, analysts caution that 10.00–15.00% short-term corrections remain possible as part of healthy market retracements.

Gold prices displayed mixed signals on January 9, with global spot rates declining marginally while maintaining strong weekly performance. The precious metal faced pressure from currency volatility and profit-booking activities ahead of key US economic data releases.

Global and Domestic Price Movement

Gold spot prices traded at $2,470.51 per ounce at 7:45 am on January 9, marking a 0.15% decline from the previous close. However, the metal has demonstrated resilience with a 3.31% gain over the past week, indicating underlying strength despite short-term fluctuations.

On the Multi Commodity Exchange (MCX), gold futures closed at ₹1,37,700 for 10 grams on January 8, representing a minimal 0.03% decline from the previous close of ₹1,37,742.

Market Analysis and Currency Impact

Jateen Trivedi, VP Research Analyst (Commodity and Currency) at LKP Securities, explained that gold traded weak with MCX gold slipping by nearly ₹900 to ₹1,36,950, despite relatively steady international prices. Rupee volatility weighed on domestic bullion sentiment, even as broader global cues remained mixed.

The rupee ended lower on January 8 at 85.91 after a volatile session. Fresh intervention by the Reserve Bank of India was outweighed by tariff worries and equity outflows, contributing to the currency's weakness.

Technical Levels and Support-Resistance

According to the January 8 Augmont Bullion report, gold rebounded after touching the psychological level of $2,500 (₹1,39,000). The technical analysis reveals key levels for traders:

The Augmont report noted that precious metals saw profit-booking as traders locked in profits ahead of the US NFP report, with investors weighing mixed US economic data while geopolitical risks remained a significant focus.

Current Gold Prices by Purity

Gold prices vary significantly based on purity levels, with 24K commanding the highest rates:

City-wise Gold Rates

Gold rates across India's major cities showed remarkable uniformity, with only marginal differences due to local taxes, jeweller margins, and logistics costs:

Market Outlook

Trivedi indicated that the week ahead is data-heavy for the US, with key releases including ADP non-farm employment and non-farm payrolls likely to add volatility and provide direction to gold prices. For the immediate term, gold is expected to trade in a volatile range between ₹1,35,000 and ₹1,38,000 over the next few sessions. MCX gold futures had peaked at ₹1,40,465 on December 26, providing context for current price levels.