Gold rates and silver rates in India continue their record-breaking rally on January 20. However, international precious metals saw a rather mixed performance. Where spot gold rallied to near $4,700 per ounce, spot silver, however, witnessed a mild correction. One of the biggest driving forces for precious metals is the latest USA and European Union tensions, with Greenland being the heart of the conflict. Amidst this, MCX silver breached above Rs 3.22 lakh for the first time ever, while MCX gold neared Rs 1.48 lakh. In this case, which is better to hold in your portfolio?
“Gold and silver extended their unstoppable rally,” said Rahul Kalantri, VP Commodities, Mehta Equities. He added that the move followed U.S. President Donald Trump’s warning of additional tariffs on certain European countries amid a dispute over Greenland.
MCX Gold Price:
At the time of writing, MCX gold price traded at Rs 1,47,679 per 10 grams, registering an upside of Rs 2,452 or 1.7%. This MCX gold is for February 2026 expiry. It touched a new all-time high of Rs 1,47,761 per 10 grams in the early deals.
MCX Silver Price:
However, silver outperformed with nearly 2.5% gains. MCX silver with February 2026 expiry, touched a new historic high of Rs 3,22,774 per 1Kg. This silver future currently traded at Rs 3,20,148 per 1Kg, which is up by a whopping Rs 7,721 or 2.5%.
Further, MCX silver futures with March 2026 expiry, traded at Rs 3,17,200 per 1Kg, up by Rs 6,925 or 2.23%. The commodity hit a new all-time high of Rs 3,19,949 per 1Kg in the early deals.
What Is Driving Bulls In Gold & Silver Prices?
US-EU Tensions:
As per the latest reports, Denmark is likely increasing its military presence in Greenland after US President Donald Trump stubbornly denied to pullback its forces for securing control of the island. Also, Trump has threatened to impose an additional 10% import tariff on eight European countries with effect from February 1, which intensifies the global trade dynamics.
Not just that Trump could potentially hike tariffs to 25% by June 2026 unless Greenland is given to them.
Following this, European Union Leaders are expected to hold an emergency summit as early as Thursday.
” Renewed tensions between the United States and Europe, linked to tariff threats and geopolitical control of Greenland, have fueled risk-off sentiment, pushing bullion prices to peak levels. Denmark’s decision to increase its military presence in Greenland has added to geopolitical uncertainty,” said Kalantri.
Apart from US-EU tensions, Kalantri also pointed out that the World Economic Forum’s Global Risks Report shows that nearly 50% of members expect a turbulent global environment over the next two years, up 14% from last year, whic hfurther strengthening the case for precious metals.
Additionally, as per Trading Economics data, safe haven investors are also eyeing the delayed US PCE inflation report due later this week, which could provide more clues on the Federal Reserve’s rate path. Gold’s strong performance this year builds on exceptional gains in 2025, fueled by safe haven flows amid tensions in Venezuela and Iran, as well as lingering concerns about the Fed’s independence.
Spot Gold Price + Spot Silver Price
On January 20, spot gold price continued on its bulls bandwagon to hit yet another fresh record high above $4,700 per ounce. In a year, gold has skyrocketed by nearly 72%.
However, spot silver traded below $94 per ounce level. Currently, silver is down 0.4%.
But despite latest correction, spot silver has outperformed gold by recording a humungous 208% upside in a year.
Gold & Silver Prices Predictions:
Looking ahead, Kalantri said, “Gold has support at $4595-4525 while resistance at $4720-4760. Silver has support at $90.10-87.75 while resistance is at $95.15-97.00. In INR gold has support at Rs1,44,050-1,42,310 while resistance at Rs1,47,150-1,48,870. Silver has support at Rs2,95,810, 2,92,170 while resistance at Rs3,13,810, 3,16,470.”
Gold vs Silver: Who To Buy?
Analysts at Nirmal Bang said, “Gold prices are expected to rise. One can buy at 144700 with a stop loss of 144000 for the target at 145700-146500.”
For silver, these analysts said, silver prices are expected to rise. One can buy at 302000 with a stop loss of 297000 for the target 308000-315000.
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