Gold and silver prices extended their strong upward momentum during the week from December 8 to December 13, as global and domestic factors aligned to support precious metals. The period was marked by firm investor demand, supportive monetary cues and currency-related tailwinds, resulting in fresh highs for both metals, particularly in the Indian market.
At the start of the week, gold prices showed some intraday fluctuations as traders adjusted positions after recent gains. However, the broader trend remained firmly positive. As the days progressed, sentiment strengthened on expectations of easier global financial conditions and heightened demand for safe-haven assets. A softer US dollar and falling bond yields improved the relative attractiveness of non-yielding assets such as gold, encouraging both institutional and retail participation.
By midweek, gold prices were moving steadily higher in international markets, supported by persistent concerns around global economic growth and inflation dynamics. These gains translated into sharp increases in domestic prices in India, where gold climbed to fresh record levels. The rise was amplified by currency effects, as a weaker rupee increased the landed cost of imported bullion. Seasonal demand and steady buying interest added further support, keeping prices elevated through the end of the week.
Silver outperformed gold during the same period, continuing a powerful rally that had gathered pace in previous weeks. Early in the week, silver prices firmed up alongside gold, but buying momentum intensified sharply as the week progressed. Strong investment demand, combined with ongoing concerns about supply tightness and silver’s dual role as both an industrial and precious metal, drove prices sharply higher. International silver prices crossed key psychological levels, reinforcing bullish sentiment across global markets.
In India, the silver rally was particularly pronounced. Domestic prices surged consistently through the week, crossing major milestones and setting new records. Futures prices on the commodity exchanges registered steep gains, reflecting aggressive buying and limited selling interest. The sharp rise underscored silver’s growing appeal among investors looking for alternatives to gold, especially given its relatively stronger percentage gains.
Throughout the week, bullion markets were supported by a broader shift towards defensive assets. Expectations of accommodative monetary policy in major economies, lingering geopolitical uncertainties and concerns about the durability of global growth encouraged investors to increase exposure to precious metals. In the Indian context, the combination of global price strength and currency weakness created a powerful upward pull on domestic bullion prices.
Overall, the week marked another decisive leg higher for gold and silver. Gold consolidated its position at record levels in the domestic market, while silver delivered an exceptional rally, outperforming most asset classes. The sustained strength in both metals reflected a convergence of global macroeconomic factors and local market dynamics, reinforcing the view that precious metals remained a preferred hedge against uncertainty during the period.