Silver plummets by ₹27,000 on budget day, gold drops ₹9,000
Mumbai (The Uttam Hindu): Last week, a big crash was seen in the prices of gold and silver , when both the precious metals fell drastically in one stroke. While silver became cheaper by more than 30 percent in a single day, gold also slipped by about 17 percent. On the day of the budget, on Sunday, along with the stock market, trading is also taking place on the commodity market MCX and as soon as the market opened, a sharp fall was once again recorded in gold and silver. With the opening, the price of one kg silver fell by about 27 thousand rupees, while gold also crashed like silver and its price registered a decline of more than 9 thousand rupees.
The pace is slowing down! Silver fell by Rs 27,000 on the budget day; gold also slipped by Rs 9,000. : On the last trading day of last week, there was a sharp fall in gold and silver. The special thing is that just a day before this, on Thursday, silver created history by crossing the Rs 4 lakh mark for the first time. The price of silver with March 5 expiry had reached a new lifetime high of Rs 4,20,048 per kg, but the very next day it saw a sharp fall and it fell by Rs 1.28 lakh to Rs 2,91,922 per kg. On the budget day, Sunday, there was a further fall in it and silver became cheaper by about 9 percent or more than Rs 27,500 and reached the level of Rs 2,65,652 per kg.
The situation of gold was similar to that of silver. After reaching the historic level of Rs 1,93,096 on Thursday, 10 grams of 24 carat gold with expiry on April 2 on MCX had fallen sharply and had become cheaper by Rs 42,247 per 10 grams and had come down to Rs 1,50,849. As soon as the trading started on MCX on Sunday, once again there was weakness in gold and it slipped by more than 6 percent. Gold fell by about Rs 9,000 per 10 grams and reached the level of Rs 1,43,205.
This time, the budget is being presented on a Sunday, which is why trading is taking place in the commodity market even on the holiday. Fears of a decline in gold and silver prices were already being expressed. It was believed that last week's sharp decline had weakened investor sentiment, which could lead to significant selling on budget day. This prediction appeared to be correct as soon as futures trading began