On Wednesday, January 28, 2026, gold futures commenced trading robustly, with both metals reaching new all-time highs on the Multi-Commodity Exchange. The rally occurs in the context of persistent safe-haven demand and increased geopolitical tensions. Investors are poised to focus on the policy decision of the US Federal Reserve later today. A signal indicating a pause or reduction in interest rates may impact overall market sentiment and facilitate additional increases in gold and silver prices, as diminished interest rates generally lead to lower bond yields, enhancing the attractiveness of safe-haven assets. MCX gold futures set to mature on February 5, 2026, increased by Rs 4,800, reflecting a 3% rise, bringing the price to Rs 1,62,429 per 10 grams. Meanwhile, silver futures for March 5, 2026, delivery increased by Rs 21,400, or 6%, reaching Rs 3,77,655 per kg.
In the international market, gold prices surged to an unprecedented peak on Wednesday, surpassing $5,200 an ounce. The rally occurred as the dollar declined to a near four-year low, influenced by ongoing geopolitical concerns, in anticipation of the US Federal Reserve’s monetary policy decision. Spot silver increased by 0.6% to $113.63 per ounce following its peak of $117.69 on Monday. The white metal has experienced an increase of nearly 60% year-to-date. Robust demand for safe-haven assets in the context of escalating global uncertainty is bolstering the prices of gold and silver. The dollar index has experienced a significant decline, approaching a level not seen in nearly four years. A recovery in the Japanese yen, coupled with apprehensions regarding the possible offloading of US Treasuries by European nations in light of the Greenland situation, is intensifying the strain on the dollar. This environment continues to bolster precious metals, although the price action remains markedly volatile, according to Manoj Kumar Jain of Prithvi Finmart.
Despite the volatility, silver prices are anticipated to maintain crucial support at $98 per troy ounce, while gold is projected to uphold support around $4,980 per troy ounce on a closing basis this week. In today’s session, both metals are anticipated to exhibit volatility in response to significant fluctuations in the dollar index, particularly in light of the forthcoming Federal Reserve policy meeting and persistent geopolitical tensions. Gold exhibits support levels ranging from $5,084 to $5,055 and faces resistance between $5,174 and $5,220 per troy ounce, while silver shows support at $102.40 to $98 and resistance at $112 to $118 per troy ounce, as noted by Manoj.
On MCX, gold appears to be establishing a support range between Rs 1,56,600 and Rs 1,55,000, while facing resistance in the vicinity of Rs 1,59,800 to Rs 1,62,000. In contrast, silver shows support levels around Rs 3,50,000 to Rs 3,44,000, with resistance projected between Rs 3,65,000 and Rs 3,78,000. The strategy continues to advocate for purchasing gold during price declines, provided it maintains a closing value above Rs 1,56,000, with a target set at Rs 1,65,000. In a similar vein, silver presents a buying opportunity during price declines, provided it maintains a closing level of Rs 3,44,000, with potential upside targets ranging from Rs 3,70,000 to Rs 3,84,000.