On Thursday, January 29, gold experienced a significant increase, reaching new all-time highs on the Multi Commodity Exchange. Silver has exceeded the Rs 4 lakh threshold for the first time, while gold has approached Rs 1.8 lakh per 10 grams. MCX gold futures due February 5, 2026 increased by Rs 9,954, representing a 6% rise, reaching Rs 1,75,869 per 10 grams. Meanwhile, silver futures for March 5, 2026 delivery increased by Rs 15,414, or 5%, reaching Rs 4,00,780 per kg. The rally has been driven by persistent safe-haven demand in the context of increased geopolitical tensions. Sentiment was further bolstered by the U.S. Federal Reserve’s decision to maintain interest rates at their current levels, coupled with indications that there is minimal to no capacity for additional rate increases—enhancing investor interest in precious metals.
Safe-haven demand intensified following U.S. President Donald Trump’s warning to Iran that “time is running out” to negotiate a deal regarding its nuclear programme, amid the United States’ ongoing military buildup in the Gulf. Trump stated that a “massive armada” was advancing towards Iran, highlighting the increasing geopolitical risks in the region. In international markets, gold and silver reached new record highs. Spot gold surged almost 3% to reach a historic peak of $5,591.61. The yellow metal surpassed the $5,000 threshold for the first time on Monday, reflecting an increase of over 10% this week, which underscores the heightened demand for safe-haven assets amidst prevailing market uncertainties. Spot silver increased by 1.3% to $118.061 per ounce, following a peak of $119.34 earlier in the session. Prices have been bolstered by increasing investor interest in more affordable alternatives to gold, constrained supply conditions, and momentum-driven purchasing, which has reinforced the pronounced upward trend in precious metals.
Manoj Kumar Jain noted that the U.S. Federal Reserve has maintained its interest rates and signaled an absence of potential rate increases, a position that is favorable for precious metal prices. Jain emphasized that gold and silver are experiencing significant volatility; however, silver is expected to maintain support around $98 per troy ounce, whereas gold may remain above $5,140 per troy ounce on a closing basis this week. He anticipates persistent volatility in today’s session, influenced by variations in the dollar index, in advance of U.S. jobless claims data and prevailing geopolitical tensions. Gold exhibits support levels between 5,220 and 5,140, with resistance identified in the range of 5,500 to 5,650. In contrast, silver shows support at 110 to 106.60, while resistance is noted between 118 and 123 per troy ounce.
On the MCX, gold exhibits support levels at Rs 1,64,000–1,61,600, with resistance identified at Rs 1,70,000–1,75,000. In contrast, silver shows support at Rs 3,74,000–3,64,800 and resistance at Rs 4,00,000–4,14,000. Jain advises purchasing gold provided it remains above Rs 1,64,400 on a closing basis, with a target range of Rs 1,70,000 to Rs 1,75,000. Additionally, he suggests buying silver if it sustains above Rs 3,64,000, aiming for targets between Rs 4,00,000 and Rs 4,10,000.