NEW DELHI, Feb 1: Gold and silver prices plunged up to 9 per cent in futures trade on Sunday, hitting their lower circuit levels ahead of the Union Budget for 2026-27, as investors extended profit booking after the recent record-breaking rally.
Finance Minister Nirmala Sitharaman will present the FY27 budget in Parliament later in the day.
The rout extended for the second straight day, with the April contract for gold futures declining Rs 13,711, or 9 per cent, to Rs 1,38,634 per 10 grams, touching its lower circuit level in the futures trade on the MCX.
In the previous session, the yellow metal plunged Rs 31,617, or 17.2 per cent, to close at Rs 1,52,345 per 10 grams, after hitting a record high of Rs 1,93,096 per 10 grams on Thursday.
On the Multi Commodity Exchange (MCX), silver futures also suffered a heavy setback as traders continued to book profits at elevated levels, with the March contract nosediving Rs 26,273, or 9 per cent, to Rs 2,65,652 per kilogram — its lower circuit level.
On Friday, the white metal slumped Rs 1,07,968, or 27 per cent, to close at Rs 2,91,925 per kg, also touching its lower circuit level. The sharp sell-off followed Thursday’s record peak of Rs 4,20,048 per kg.
Traders said the steep correction in bullion prices was driven by aggressive unwinding of long positions amid volatility in global markets and cautious investor sentiment ahead of the presentation of the Union Budget.
Global futures markets are closed on Sunday due to a holiday. (PTI)
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