Silver rate today: Silver rate today surged 6% on Wednesday, Janaury 28 to hit another record high, crossing 3.75 lakh/kg for the first time ever as the US dollar remained under pressure near multi-year lows, while investors stayed cautious ahead of the US Federal Reserve’s policy decision and ongoing geopolitical uncertainties. Weakness in the greenback made dollar-denominated commodities more attractive, lending support to precious metals across the board.
MCX Silver price rallied 6% to a new peak of ₹3,77,655.
In international markets, spot silver edged higher by around 0.6% to $113.63 an ounce, after touching a fresh all-time high of $117.69 earlier in the week. The white metal has already surged close to 60% so far this year, driven by a combination of strong investment demand, tight supply conditions and a weaker dollar environment.
Gold also extended its record-setting rally, breaking past the $5,200 level for the first time in the global markets. Back home, Gold rates jumped almost 2% on the MCX in morning trade. MCX gold February futures jumped 1.8% to a record high of ₹1,60,509 per 10 grams.
Moreover, Spot gold rose about 0.6% to $5,219.97 an ounce in early Asian trade, after hitting a new peak of $5,224.95. Prices have climbed more than 20% since the beginning of the year. US gold futures for February delivery jumped 2.6% to $5,216.80 an ounce, reflecting strong bullish sentiment.
Other precious metals also traded higher. Spot platinum gained 1.5% to $2,679.15 an ounce, after having touched a record high of $2,918.80 earlier in the week, while palladium rose 0.9% to $1,951.93 an ounce.
Meanwhile, the US dollar hovered near four-year lows amid what market participants described as a growing loss of confidence in the currency. Sentiment was further weighed down by a sharp drop in US consumer confidence, which fell to its weakest level in over 11 years, highlighting concerns around a slowing labour market and persistently high prices. Attention now remains firmly on the Federal Reserve, which is widely expected to keep interest rates unchanged at its January policy meeting, even as expectations build for lower rates later in the year.
Silver, Gold at record highs: Should you still buy?
Even as gold and silver continue to trade near record highs, analysts are urging investors to temper optimism with caution, citing stretched technical indicators and elevated volatility. Aamir Makda, Commodity & Currency Analyst at Choice Broking, said that while the broader momentum remains positive, warning signals have begun to emerge on the charts.
“While the momentum is undeniably strong, the RSI is currently in overbought territory across all timeframes, and a daily RSI divergence has appeared, which is a classic red flag,” Makda said. He added that the near-term trend for both metals remains moderately bullish, but key resistance levels could cap further upside. According to him, gold faces crucial resistance near 168,790, corresponding to the 78% trend-based Fibonacci extension, while silver may encounter strong resistance in the 375,000–400,000 zone.
Beyond technicals, experts also highlighted the need for a disciplined portfolio approach. Ravi Singh, Chief Research Officer at Master Capital Services, cautioned against viewing precious metals purely as return-generating assets.
“Gold and silver should primarily be used as tools for risk management and portfolio diversification, not aggressive return chasing,” Singh said. He noted that given their high volatility, exposure should be limited and periodically rebalanced, especially at elevated price levels. Singh emphasised that precious metals work best as hedges against inflation, currency weakness and geopolitical uncertainty, helping stabilise portfolios rather than driving short-term gains.
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.
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