Gold and silver prices moved higher in domestic and international markets as geopolitical uncertainty encouraged investors to increase their exposure to precious metals. The latest rally came after a period of volatility, with developments in the Middle East, expectations surrounding US monetary policy and festive demand in India influencing market sentiment.

In the international market, gold was trading above $4,410 per ounce, while silver crossed the $67-per-ounce level. The white metal reportedly gained around 2.21% during the session, reflecting renewed buying interest.

Indian commodity markets also followed the international trend. On the Multi Commodity Exchange of India, commonly known as the MCX, the October gold contract traded close to ₹1.55 lakh per 10 grams. The December silver contract remained above ₹2.43 lakh per kilogram.

The figures and market observations mentioned here are based on information reported on September 18, 2026. Precious-metal prices can change quickly, and local rates may differ depending on purity, taxes, location and the time of purchase.

Gold and silver gain in the global market

At around 5:20 pm on September 18, gold was trading above $4,410 per ounce in the international market. Silver, meanwhile, moved beyond $67 per ounce after registering an increase of approximately 2.21%.

Precious metals are often treated as safe-haven assets during periods of political or economic uncertainty. When geopolitical risks intensify, some investors shift a portion of their money away from riskier assets and towards gold. Silver can also benefit from this trend, although its price is additionally affected by industrial demand.

Concerns surrounding the Middle East and possible disruptions to global trade routes have contributed to uncertainty in commodity markets. At the same time, traders are closely following crude oil prices, the US dollar and bond yields because changes in these indicators can influence the direction of bullion prices.

MCX gold approaches ₹1.55 lakh

The upward movement in overseas markets was also visible on the MCX. October gold futures traded near ₹1.55 lakh per 10 grams, while December silver futures crossed ₹2.43 lakh per kilogram.

Futures prices should not be confused with jewellery-store rates. MCX contracts represent market prices for future delivery, while the amount paid by retail customers may include Goods and Services Tax, making charges and other expenses.

Retail rates may also vary between cities and jewellers. Buyers should therefore confirm the latest price and purity before completing a purchase.

Will gold rise further by Diwali?

Market participants are now assessing whether the rally could continue through the festive season. Gold demand in India generally attracts attention ahead of occasions such as Dhanteras and Diwali, when consumers often purchase jewellery, coins and bars.

Ajay Kedia, director of Kedia Advisory, reportedly said that precious-metal prices could witness significant movement following decisions taken by the US Federal Reserve. His assessment suggested that gold may have room to rise by Diwali and could potentially challenge the record high seen in January.

However, this remains an expert opinion rather than a guaranteed price target. The direction of gold will depend on several factors, including the Federal Reserve’s interest-rate outlook, the strength of the US dollar, inflation expectations, geopolitical risks and investment demand.

If interest rates or bond yields rise sharply, gold could face pressure because the metal does not generate regular interest income. On the other hand, expectations of easier monetary policy or a weaker dollar may improve its appeal among investors.

Indore bullion market records a sharp increase

The Indore bullion market also reported higher prices on Friday, September 18. Gold reportedly became costlier by ₹1,300 per 10 grams, while silver rose by ₹5,600 per kilogram.

Such local price changes can be influenced by international bullion rates, currency movements, availability of stock and demand among traders and consumers. The size of the increase may therefore differ from one market to another.

Customers planning to buy jewellery should compare rates across trusted sellers and ask for a complete price breakdown. The final bill should separately mention the gold value, making charges, applicable taxes and any other fees.

Could silver fall below ₹2 lakh again?

Despite the latest increase, the outlook for silver remains uncertain. The metal can move sharply in either direction because it is influenced by both investment demand and industrial consumption.

Amit Suresh Jain, founder of Intellisis Ventures and a SEBI-registered analyst, reportedly highlighted risks linked to tensions in the Middle East and attacks by Houthi rebels in the Red Sea. Such developments could affect crude oil prices and wider market sentiment, indirectly influencing gold and silver.

Whether silver can fall below ₹2 lakh per kilogram will depend on future market conditions. A stronger dollar, higher interest rates or reduced investment demand could put pressure on prices. Continued geopolitical tension, supply concerns or strong industrial consumption could support them.

What buyers should check before purchasing gold

Consumers should not make a purchase solely on the basis of short-term price predictions. Before buying gold, they should:

• Check the prevailing rate for the correct purity, such as 22-carat or 24-carat gold.
• Purchase hallmarked jewellery from a reliable seller.
• Verify the Hallmark Unique Identification, or HUID, details.
• Compare making charges and other fees.
• Ask for a proper invoice containing weight, purity and price information.

There have also been calls for improvements to the Gold Monetisation Scheme, including simpler procedures and a more customer-friendly valuation system. Transparent purity testing and clear price assessment could help consumers make better decisions.

Editorial note: The source headline refers to a major fall in gold and silver prices, but the figures and narrative provided in the article describe a price increase. This rewritten version follows the market direction supported by the supplied data. All forecasts are expert estimates and should not be treated as assured investment returns.