New Delhi: Silver prices witnessed extreme volatility on Thursday evening after recording a steep intraday correction on the Multi Commodity Exchange (MCX), triggering fresh debate among investors over the metal’s near-term outlook. The sudden fall came after silver had scaled record levels earlier in the session.
During evening trade, silver prices dropped sharply by nearly ₹65,000 per kilogram within a short span. After touching levels above ₹4.20 lakh per kg, prices slipped to around ₹3.55 lakh per kg in barely an hour, catching market participants off guard. The decline followed a strong rally seen at the opening of trade, when silver surged on the back of robust buying interest.
Market data showed that silver had opened firm and quickly climbed to a new all-time high as demand picked up. However, as prices reached elevated levels, selling pressure intensified. By around 8:30 pm, heavy profit booking set in, leading to a swift reversal in prices.
Although the fall was sharp, silver managed to recover part of the losses later in the session. At the time of filing this report, the metal was trading close to ₹3.95 lakh per kilogram on MCX, indicating continued volatility in the market.
Analysts attributed the sudden correction to aggressive selling by traders at higher levels, combined with fluctuations in global precious metal markets. Experts noted that while such sharp movements pose risks for short-term traders, long-term investors may view the correction as a potential entry point, provided they remain cautious amid ongoing uncertainty.