Gold and Silver Prices Today, 12 May 2025: Gold falls to Rs 92,922, Silver drops to Rs 96,221

Gold and Silver Prices Today, 12 May 2025: Precious metals witnessed a sharp decline on Monday as global market sentiment shifted away from safe-haven assets following encouraging signals from US-China trade talks and a firm US dollar. On the Multi Commodity Exchange (MCX), gold futures for June delivery fell by 3.73 per cent, or Rs 3,596 settling at Rs 92,922 per 10 grams. Silver futures for May delivery also declined, dropping 0.6 per cent or Rs 585, to close at  Rs 96,221 per kilogram.

The dip in prices comes as investors responded to renewed optimism in the global trade environment. Spot gold prices dropped 1.4 per cent to $3,277.68 per ounce in early Asian trade, while US gold futures slipped 1.9 per cent to $3,281.40. The shift follows reports that US. and Chinese negotiators reached a “key consensus” during weekend trade discussions in Switzerland. A joint statement is expected to be released by Chinese Vice Premier He Lifeng later Monday.

Jigar Trivedi, Senior Commodity Analyst at Reliance Securities, attributed the decline to a stronger dollar and easing geopolitical tensions. “The Trump administration's positive tone on trade progress has lifted the dollar index, which in turn has weighed on gold prices,” Trivedi said.

The developments mark a stark contrast from last week, when gold and silver prices surged amid rising tensions between India and Pakistan and a surprise rate cut by the Bank of England. Gold had touched $3,344 per troy ounce and silver tested $33 per troy ounce in international markets, supported by safe-haven demand.

Manoj Jain, Director at India Nivesh, noted that volatility remains a key theme. “Prices rebounded sharply last week due to the Indo-Pak conflict and global rate cuts, but positive trade developments between the US and China are now limiting further upside. We expect volatility to persist in the short term,” he said.

Retail Gold Prices Across Major Indian Cities (May 12, 2025):

City-wise Retail Gold Prices in India (May 12, 2025):

• Mumbai: 24K gold at Rs 9,867/gm, 22K gold at Rs 9,044/gm
• Delhi: 24K gold at Rs 9,882/gm, 22K gold at Rs 9,059/gm
• Chennai: 24K gold at Rs 9,867/gm, 22K gold at Rs 9,044/gm
• Kolkata: 24K gold at Rs 9,867/gm, 22K gold at Rs 9,044/gm
• Bengaluru: 24K gold at Rs 9,867/gm, 22K gold at Rs 9,044/gm
• Ahmedabad: 24K gold at Rs 9,867/gm, 22K gold at Rs 9,044/gm

Market Outlook:

Despite the recent dip, analysts expect gold and silver to remain volatile, with geopolitical risks, US inflation data, and central bank policies all influencing prices. Gold has technical support at $3,180 and resistance at $3,400 per ounce, while silver could trade between $31.40 and $33.66 per ounce. Domestically, MCX gold is supported at Rs 95,550 and faces resistance at Rs 97,450. Silver support is seen at ₹95,350 with resistance at Rs 98,200.

Traders are advised to watch for further cues from the upcoming US Consumer Price Index data and central bank commentary later this week.