Xpress News24
Gold and silver prices extended their decline for the fourth consecutive session on Thursday, September 24, putting the focus back on whether the correction will continue or precious metals will regain momentum ahead of the festive season. With Karwa Chauth, Dhanteras and Diwali approaching, demand for jewellery and bullion typically becomes an important factor for the domestic market.
According to India Bullion and Jewellers Association (IBJA) data, 24-carat gold closed at around ₹1,50,785 per 10 grams on Thursday, compared with ₹1,52,016 on Wednesday. Silver 999 fell to ₹2,28,248 per kg from ₹2,32,766 a day earlier. IBJA rates are benchmark bullion prices and are quoted before GST and making charges.
The broader trend has been weak this week. Gold’s IBJA closing rate was ₹1,53,337 per 10 grams on September 21 and ₹1,52,723 on the same day’s PM benchmark. Silver was around ₹2,34,992 per kg. By Thursday’s close, both metals had moved significantly lower.
The immediate pressure is coming from the global market. Gold has faced selling pressure as expectations of higher US interest rates have strengthened the dollar and increased the opportunity cost of holding a non-yielding asset. Reuters reported earlier this week that markets were pricing in a high probability of another US Federal Reserve rate increase in December.
There is another factor at play — developments around the US-Iran conflict. Energy prices, inflation expectations and monetary-policy decisions have all become interconnected. Market participants are watching whether geopolitical tensions ease or intensify, as either development can quickly affect safe-haven demand and interest-rate expectations.
Despite the recent fall, Australian hedge fund manager Raphael Lamm has described the decline in gold as temporary. Bloomberg, as reported by other financial publications, quoted Lamm as saying that weak fiscal conditions in major economies and continued central-bank gold purchases could support bullion over the medium to long term.
Lamm, who co-manages the A$1.5 billion L1 Gold Fund with Mark Landau, said near-term prices would depend on developments in the US-Iran conflict, real interest rates and inflation data. His fund has reportedly delivered a net return of 235% through August since its February 2025 launch, according to a fund spokesperson cited in the report.
Global gold prices have also come off their January peak. The World Gold Council said gold had reached a record $5,405 per ounce in late January before falling sharply to around $4,002 in June. It identified geopolitical risks, investor positioning and profit-taking among the factors behind the volatility.
On Thursday evening in Sydney, gold was trading around $4,286.01 per ounce, according to the Bloomberg report cited by financial media. Lamm said his fund had increased its long exposure when gold moved below $4,000 and was continuing to maintain that position
For Indian buyers, the next few weeks could therefore be important. Festive-season demand may provide domestic support, but international prices, the rupee-dollar movement, US interest-rate expectations and geopolitical developments will remain key factors. A sustained recovery cannot be assumed merely because the festive season is approaching.
For now, the data shows a clear four-session correction, while market views remain divided on how long it will last. Investors and jewellery buyers will be watching the next global cues closely.
