Silver rate today in India falls around 2% to ₹2.96 lakh/kg on profit booking; Donald Trump-Xi Jinping talks in focus

Silver rate today in India: Silver prices in India declined on Thursday, 14 May, on profit booking after the white metal jumped over 6% in the previous session, after the Indian government unexpectedly raised import tariffs on gold and silver to nearly 15% from 6%, a move aimed at protecting the rupee and strengthening the country’s foreign exchange reserves.

Silver prices on MCX fell 1.9% to ₹2,94,450 per kg, while gold prices fell 0.7% to ₹1,61,027 per 10 grams.

Meanwhile, international precious metal markets also remained relatively subdued as investors focused on high-level discussions between US President Donald Trump and Chinese President Xi Jinping, while also monitoring developments related to the Iran conflict.

In the global market, spot silver slipped 0.9% to $87.18 per ounce, while spot gold remained largely steady at $4,688.43 per ounce as of 0212 GMT. US gold futures for June delivery fell 0.2% to $4,695. Among other precious metals, platinum declined 0.4% to $2,129.15, while palladium eased 0.3% to $1,495.75.

What's driving the gold and silver prices?

The precious metals declined on profit booking after surging in the previous session on India’s decision to raise import tariffs on gold and silver to 15% from 6%. The government’s move is aimed at discouraging excessive bullion imports and easing pressure on the country’s foreign exchange reserves at a time of global uncertainty.

The tariff hike comes amid already strong safe-haven demand for bullion globally. Investors have remained cautious due to uncertainty surrounding US monetary policy, rising inflation concerns, and escalating geopolitical tensions linked to the Iran conflict.

Attention also remains on Trump’s ongoing meetings with Xi in Beijing, where the US President is seeking to secure economic gains, preserve the fragile trade truce between the two countries, and discuss broader geopolitical issues, including the ongoing conflict involving Iran.

Trump is reportedly expected to seek China’s support in resolving the costly conflict launched with Israel earlier this year, although analysts believe Beijing may not fully back Washington’s position.

Meanwhile, fresh US economic data released on Wednesday showed that producer prices recorded their biggest increase in four years during April, driven by a sharp rise in the cost of goods and services. The data reinforced concerns about persistent inflationary pressures in the US economy, further supporting investor interest in safe-haven assets such as gold and silver.

Technical Outlook

Renisha Chainani, Head - Research at Augmont noted that Silver has broken above resistance at $83 and $85 and sees the next targets at $90 and $92. For Gold, she stated that the yellow metal remains range-bound between $4,650 and $4,780.

Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.