Gold and silver, long considered pillars of financial security, recently saw notable declines on June 10, 2025. In New Delhi, gold dropped ₹110 to ₹97,670 per 10 g, while silver plunged ₹1,000 to ₹1,07,100 per kg, erasing a week-long rally. Let’s explore why this happened, what it means for buyers and investors, and how global events tie into local pricing.
What's behind the slide?
Domestic selling pressure
Local jewellers and bullion stockists began offloading inventory, triggering a supply surge that softened prices. A consistent inflow of metal from sellers can quickly tilt short-term demand-supply dynamics . Imagine a baker cutting bread costs because their supplier suddenly dumped more flour—that’s similar to what's happening in bullion markets.
Global macroeconomic trends
The metals were buoyed previously by safe-haven demand, as investors sought refuge from economic uncertainty. But U.S.–China trade talks in London extended into a second day, calming markets slightly and reducing the urgency to buy gold as a shield against volatility. With optimism around easing geopolitical friction, the urgency to hold precious metals waned.
Price snapshot & recent momentum
| Metal | Previous High | Current Price | Change |
|---|---|---|---|
| Gold | – | ₹97,670 / 10 g | –₹110 |
| (99.5%) | ₹97,780 (approx.) | ₹97,670 / 10 g | –₹110 |
| Silver | ₹1,08,100 / kg | ₹1,07,100 per kg | –₹1,000 |
gold saw a mild decline (~0.11%), easing after recent gains.
Global price trends
Spot gold edged up slightly to USD 3,329.12/oz abroad, though domestic selling pressure dampened Indian pricesThus, despite marginal gains internationally, local market behavior decoupled some of those benefits.
Analyst perspectives
Sriram Iyer of Reliance Securities noted that easing trade tensions between China and the U.S. reduced safe-haven demand, which often propels gold during uncertain times
Meanwhile, Deveya Gaglani from Axis Securities highlighted that gold traders are on alert this week, awaiting key U.S. economic indicators—like inflation data and consumer sentiment. Any surprise there could alter expectations about Federal Reserve rate cuts and, in turn, bullion prices.
What does this mean for you?
Buyers
If you're planning to purchase gold—whether for weddings, festivals, or gifting—the current dip offers a more favorable entry point. The ₹97,670/10 g level is still relatively elevated, but the downward move softens the blow compared to recent highs.
Investors & traders
Short-term traders should watch:
U.S. CPI and sentiment indices: Any uptick in inflation or pessimism could revive gold’s appeal.Wider economic implications
Jewellers & retailers: Lower bulk metal costs can improve margins—if they translate savings to consumers.In summary, the ₹100–110 drop in gold and a ₹1,000 plunge in silver on June 10 were driven largely by domestic sales and a calmer global outlook as U.S.–China trade talks advanced. While spot rates abroad edged up, local market dynamics steered the downturn. For buyers, this means a marginally softer market; for investors, the week ahead—with key U.S. data—will be decisive.
Precious metal investors and buyers should keep one eye on global macroeconomic cues—especially inflation and geopolitical shifts—and another on local supply-demand swings. In markets like these, where cm move quickly, a blend of patience, awareness, and strategic timing can help you make the most of dips—or safeguard against sudden rallies.
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