It is a bloodbath in the precious metal market with both gold and silver falling in tandem, losing trillions of dollars. The flash crash in Silver prices continues on Friday. Silver tumbled 17% to $95 per ounce, before recovering some ground to trade around $99. The strength in dollar has increased pressure on the precious metals. Gold is also trading below $5,000, lower by 7%.
Gold, Silver Price Crash
Gold and Silver ETFs listed on Indian stock exchanges have fallen up to 24%. Prices of all silver ETFs, including Tata Silver Exchange Traded Fund, Aditya Birla Sun Life Silver ETF, Edelweiss Silver ETF, Mirae Asset Silver ETF, Nippon India Silver ETF, HDFC Silver ETF, ICICI Prudential Silver ETF, were down between 7% and 24% on Friday.
In the case of ETF, there is the NAV or the iNAV and then there is the market price of the ETF. The trading happens on the ETF’s market price and not the NAV.
The sudden fall in the price and not the NAV of Silver ETFs happens because of the ‘premium’ that had been built into the price over the last few weeks, if not months.
The recent fall in the market price of ETFs seems to be on the back of a breakdown in prices in the international market.
In the Indian market, gold prices are lower by Rs 8,000 on Friday. On January 30 at 1.50pm, gold trades at Rs 1,67,095 in Ahmedabad as against Thursday’s price of Rs 1,75,231 per 10 gram of 24 carat, a fall of 4.6%.
Silver rate today in India is lower by Rs 32,307 on Friday. On January 30 at 1.50pm, silver trades at Rs 3,47,676 in Ahmedabad as against Thursday’s price of Rs 3,79,983, a fall of 8.5%.
In the Indian markets, MCX Gold futures trade lower nearly3%, with the LTP of 02 APR 2026 contract at Rs 1,78,563.
MCX Silver futures trade lower by over 7$, with the LTP of 05 MAR 2026 contract at Rs 3,71,556.
Behind the Fall in Gold, Silver Crash
For the first time in almost two weeks, gold and silver prices have shown a significant decline. One of the key reasons for the gold and silver to suffer a dramatic reversal could be the rally in the US Dollar.
Meanwhile, the possibility of another US government shutdown was averted as Trump and Senate Democrats negotiated a tentative agreement. There has been a global uproar over the White House’s ongoing negotiations with Democrats to impose more curbs on immigration sweeps.
Trump’s intervention might have mitigated prior pessimistic expectations by signaling to the market that economic conditions are improving.