Key Points
- Gold prices in Delhi dropped by ₹1,550 to ₹91,450 per 10 grams due to weak global trends and heavy selling by stockists.
- Silver prices continued their decline, falling ₹3,000 to ₹92,500 per kg, marking a five-day losing streak.
- Global gold rates fell to $3,027.20 per ounce as investors liquidated assets amid market turmoil caused by U.S. tariffs.
New Delhi: Gold prices in India witnessed a sharp decline on Monday, April 7, 2025, as the fallout from U.S. President Donald Trump’s tariff policies continued to roil global markets. In Delhi’s bullion market, the price of 24-carat gold dropped by ₹1,550 to ₹91,450 per 10 grams. The All India Sarafa Association attributed the dip to weak global cues and heavy selling by jewelry vendors and stockists.
Gold and Silver Price Trends
The decline in gold prices follows a similar drop last Friday when rates for 99.9% purity gold fell by ₹1,350 to ₹93,000 per 10 grams. Gold of 99.5% purity also saw a reduction of ₹1,550 to ₹91,000 per 10 grams.
Silver prices have been on a consistent downward trend:
- On Monday, silver fell by ₹3,000 to ₹92,500 per kg.
- Over the past five sessions, silver has lost a total of ₹10,500 per kg.
Global Market Impact
The global gold market has been significantly impacted by Trump’s sweeping tariff hikes and retaliatory measures from nations like China:
- Spot gold dropped $10.16 to $3,027.20 per ounce on Monday.
- This marks a continuation of losses after gold retreated more than 2% on Friday.
While gold is traditionally seen as a safe-haven asset during economic uncertainty, the current market dislocation has led investors to liquidate bullion holdings to cover losses in equities and other asset classes. Despite this dip, gold remains about 15% higher year-to-date after hitting record highs earlier in 2025.
City-Wise Gold Prices
Gold prices across major Indian cities also reflected the downward trend:
- Delhi: ₹91,450 per 10 grams (down from ₹93,000)
- Mumbai: ₹91,630 per 10 grams
- Kolkata: ₹91,630 per 10 grams
- Chennai: ₹91,680 per 10 grams
Factors Behind the Decline
The drop in gold prices can be attributed to several factors:
- Trump’s Tariffs: The U.S.-China trade war has intensified following Trump’s announcement of reciprocal tariffs (34% on China and 26% on India), leading to global market volatility.
- Profit Booking: Investors are selling gold to book profits after its recent rally.
- Global Economic Uncertainty: Concerns over a potential recession have led to erratic trading patterns across commodities and equities.
Silver’s Decline
Silver has mirrored gold’s downward trajectory but with sharper declines due to its industrial applications being affected by reduced demand:
- Silver prices fell by as much as 8% globally last week.
- Analysts suggest that silver could remain volatile in the coming weeks due to ongoing trade tensions.
