Fri Dec 12 04:30:00 UTC 2025: Okay, here’s a news article summarizing the provided text:
Silver Prices Soar to Record Highs in India, Gold Gains Momentum After Fed Rate Cut
Mumbai, India – Silver prices in India reached unprecedented levels on Thursday, propelled by continued gains in global markets and a weakening rupee. On the Multi Commodity Exchange (MCX), silver futures surged past ₹1.90 lakh per kg, marking an all-time high. In the spot market, silver crossed ₹2 lakh level in most metropolitan cities.
International silver prices also hit a new peak of $63.25 per ounce during afternoon trading.
The surge in precious metals is attributed to the recent decision by the U.S. Federal Reserve to hold steady and signal potential interest rate cuts in the future. According to Harish V, Head of Commodity Research at Geojit Investments, lower interest rates reduce the opportunity cost of holding non-yielding assets like gold and silver, attracting fresh investment flows. He further noted that structural supply deficits, robust industrial demand for silver, and consistent ETF inflows are also contributing to the rally.
The U.S. Federal Open Market Committee (FOMC) voted on December 10 to hold benchmark interest rates for the third consecutive time, placing the fed funds rate in a range of 3.50%-3.75%, its lowest level since 2022. The dollar index has also weakened by 0.25% following the Fed’s policy decision, further supporting gold prices.
“Increased policy uncertainty surrounding interest rate outlook, inflation trends and broader macroeconomic conditions generally puts pressure on the U.S. dollar,” said Ross Maxwell, Lead, Global Strategy Operations, VT Markets.
Market analysts are now closely watching upcoming U.S. jobs and CPI inflation data for November, as well as the PCE Price Index for October, to gain further insights into the Federal Reserve’s future interest rate policy.
Analysts at Prithvifinmart Commodity Research predict support for gold at $4,200 and $4,164, with resistance at $4,258 and $4,300 per troy ounce. They see support for silver at $60.40 and $59.80, with resistance at $62.20 and $63.50 per troy ounce. For MCX, Gold has support at ₹1,29,100 and ₹1,28,500, and resistance at ₹1,30,660 and ₹1,31,200. For Silver, support is at ₹1,86,500 and ₹1,84,000, and resistance at ₹1,92,000 and ₹1,94,000. They maintain a bullish outlook on both metals, targeting ₹1,35,000 for gold and ₹2,00,000 for silver in the short term.
Other firms see similar patterns and targets, with technical supports and resistance points given for the short term.
Disclaimer: Investing in commodity markets is subject to risk. Consult with a financial advisor before making any investment decisions.
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