Gold prices climbed to an impressive high on Wednesday, January 21, while silver hovered around its own historic peak, continuing the strong momentum seen
in the previous session. The surge across precious metals was driven by heightened global uncertainty after the US Supreme Court chose to defer its decision on the legality of trade tariffs imposed by US President Donald Trump. The delay reignited safe-haven buying, pushing investors toward gold and silver amid rising geopolitical and market risks. Tensions on the global stage remain elevated as fresh tariff threats reportedly linked to Greenland and aimed at European nations have revived fears of a broader trade conflict, unsettling risk assets and strengthening demand for defensive investments. MCX Gold And Silver Extend Domestic Gains On the Multi Commodity Exchange (MCX), gold futures expiring on February 5, 2026, jumped Rs 3,266, or about 2 per cent, to Rs 1,53,831 per 10 grams. Silver futures for March 5, 2026, delivery also moved higher, gaining Rs 2,098, or 0.6 per cent, to trade at Rs 3,25,900 per kg. The rally was supported by weakness in the rupee, which tends to lift domestic commodity prices when global rates are firm. Global Markets React To Political Uncertainty In international markets, gold prices climbed beyond $4,800 per ounce, setting a new record as investors sought refuge from geopolitical stress and a softer US dollar, according to a report from The Economic Times. Concerns that President Trump’s aggressive stance toward Europe and Greenland could destabilise NATO and reignite a trade war added to the bullish sentiment. Silver, however, saw some profit-taking, slipping around 1 per cent to $93.59 per ounce after touching a lifetime high of $95.30 earlier in the week. What’s Driving Volatility In Precious Metals? Safe-haven demand has intensified following tariff actions against multiple European countries and renewed geopolitical rhetoric. At the same time, selling pressure in Japanese bonds pushed US 10-year yields to four-month highs, indirectly supporting precious metals. According to Manoj Kumar Jain of Prithvi Finmart, both gold and silver are experiencing very high price volatility. He expects silver to find support near $84 per troy ounce, while gold could sustain above $4,440 per troy ounce on a closing basis. He also noted that price swings this week will be influenced by movements in the dollar index, speeches by the US President, and ongoing geopolitical developments, according to the ET report. Key Support, Resistance And Trading Strategy In the domestic market, Jain highlighted support for MCX gold in the Rs 1,48,800–1,46,600 range, with resistance between Rs 1,52,500 and Rs 1,55,000. MCX silver, meanwhile, has support at Rs 3,16,000–3,08,500 and resistance at Rs 3,30,000–3,38,000. He advised traders to avoid short selling and instead adopt a buy-on-dips approach, projecting potential upside toward Rs 1,55,000 for gold and Rs 3,38,000 for silver if key levels hold.
