Gold and silver prices in 2026: After an 80% gold rally & 150% silver surge, will precious metals stay elevated? Details here

The year 2025 turned out to be exceptional for precious metals, with gold and silver delivering some of their strongest gains in recent history. Prices surged amid global uncertainty, rising geopolitical tensions and persistent inflation concerns, prompting investors to seek safety in hard assets. As markets move into 2026, analysts remain broadly optimistic but caution that volatility could continue.

At the start of 2025, gold was priced at about Rs 71,500 per 10 grams. By the final Monday of the year, it had climbed sharply to Rs 1.39 lakh per 10 grams, representing a rise of nearly 80%. Silver outperformed even that, rallying more than 150%. Prices moved from Rs 90,500 per kilogram at the beginning of the year to over Rs 2.32 lakh per kilogram by year-end.

The rally in precious metals during 2025 was driven by a mix of economic and geopolitical factors. Globally, gold crossed 2,400 per ounce, its highest level on record, while silver breached 30 per ounce. In India, gold prices moved past Rs 70,000 per 10 grams earlier in the year, and silver surged beyond Rs 90,000 per kilogram.

Concerns over slowing global growth, shifting interest rate expectations among major central banks and ongoing conflicts in Eastern Europe and the Middle East created an atmosphere of caution. This environment pushed investors toward assets traditionally viewed as safe havens. At the same time, several central banks increased their gold reserves, adding sustained support to prices.

In India, the sharp rise influenced both jewellery demand and investment behaviour. High prices led some retail buyers to delay purchases, while investors continued to view gold as protection against inflation and currency volatility.

Analysts expect gold to remain well supported in 2026, provided global uncertainties do not ease significantly. Most major banks forecast average gold prices between $4,500 and $4,700 per ounce, with the possibility of prices touching $5,000 or higher under favourable conditions.

Central bank buying is expected to continue, particularly among emerging economies seeking protection from dollar fluctuations and geopolitical risks. Economic uncertainty could further benefit gold if fears of a slowdown persist or if interest rates begin to decline. Although inflation has eased in some regions, lingering price pressures may sustain gold’s appeal as a long-term store of value.

Silver is widely projected to outperform gold in percentage terms in 2026. Its dual role as both a precious metal and an industrial input gives it additional momentum, especially amid structural supply deficits.

Industrial demand is expected to rise further, driven by increased use in green technologies such as solar panels, electric vehicles and electronics. Compared to gold, silver is still viewed as undervalued, making it attractive to investors looking for higher upside potential. Growing participation from ETFs and retail investors could also support prices.

It is believed that silver may trade between 35 and 45 per ounce in 2026, with bullish scenarios pushing prices beyond that range.

While the broader outlook remains positive, analysts caution that corrections are possible as markets stabilise. Much will depend on how geopolitical tensions, inflation trends and global economic conditions evolve. For now, gold and silver enter 2026 with strong fundamentals, following one of their most remarkable years on record.