Budget 2026 Shock: MCX Gold, Silver Hit 9% Lower Circuit; Rates Across Cities Today

Gold and Silver Rates Today, February 1: Prices Plunge Nearly 9% on Budget 2026 Day

Gold and silver prices in India tumbled by nearly 9% in opening trade on the MCX on February 1, coinciding with Budget 2026 announcements and an extreme global bullion sell-off.

In Mumbai, 24-carat gold fell to ₹1,38,600 per 10 grams, while 22-carat gold was trading at ₹1,27,050 per 10 grams. Prices are exclusive of GST and making charges. Silver dropped sharply to around ₹2,65,600 per kg in the spot market.

Silver’s Record Drop

After hitting a record ₹4 lakh per kg last week, silver crashed nearly 27% in a single day—the largest decline since the 1980s. On Thursday evening, it had fallen to ₹3,30,000 before briefly recovering.

Why Gold Prices Fluctuate in India

Gold rates are influenced by international bullion prices, import duties, taxes, and exchange rate fluctuations. Cultural and financial factors also play a role, as gold remains a preferred investment and is central to weddings and festivals.

Investors and traders are closely monitoring market movements, as timely updates are crucial to navigate the volatile bullion market.