Market Turmoil: Gold and Silver Prices Plummet Amid Profit Booking

The gold and silver markets have faced significant fluctuations recently, with prices dropping sharply due to profit booking and easing global tensions. As of March 8, 2026, gold has fallen by up to ₹10,000, while silver has decreased by ₹37,000. Experts predict that gold will remain a safe-haven asset, with potential recovery on the horizon. This article delves into the reasons behind the price drops and offers insights into future market trends, making it essential reading for investors and buyers alike.

By Narendra Chaudhary Mar 8, 2026, 11:09 IST

Market Overview

New Delhi/Jaypur, March 8, 2026: The gold and silver markets have experienced significant volatility in recent days. At the beginning of March 2026, both gold and silver reached record highs, but a sudden wave of profit booking, easing tensions in the Middle East, and signals from global markets led to a sharp decline in prices. Over the past five days, gold has dropped by up to ₹10,000, while silver has seen a decrease of ₹37,000, creating a stir among investors and jewelry buyers.

What Happened in the Last 5 Days?

Beginning of March (March 3-4): Gold was trading above ₹1,70,000 per 10 grams for 24-carat, and silver was around ₹2,95,000-3,15,000 per kilogram. Prices soared due to global uncertainties, particularly tensions involving the US, Israel, and Iran, along with a weakening dollar.

Sudden Decline (March 4-7): Heavy selling occurred in the MCX and spot markets due to profit booking. Gold prices fell by ₹10,000-11,000, settling between ₹1,59,000-1,63,000 per 10 grams. Silver experienced an even sharper decline, with reports indicating a drop to ₹2,60,000-2,85,000 per kilogram.

Today's Update (March 8, 2026): The market shows slight recovery. Currently, 24-carat gold is trading at approximately ₹1,63,640 per 10 grams, while 22-carat gold is around ₹1,50,000. Silver remains stable at ₹2,85,000 per kilogram. After the recent decline, gold has bounced back by ₹2,000-3,000 today, but overall, it remains lower.

Key Reasons for the Decline

Profit Booking: Investors are cashing in on profits after record highs.

Global Factors: Signs of easing tensions in the Middle East, stability in the US dollar, and changes in expectations regarding interest rate cuts.

Domestic Market: Volatile trading on the MCX and high margin requirements have reduced leveraged positions.

Greater Impact on Silver: Silver is also tied to industrial demand, leading to a more pronounced decline.

What Lies Ahead? (Gold & Silver Outlook 2026)

Experts believe that gold will continue to be a safe-haven asset in 2026. Reports from economic surveys and institutions like Goldman Sachs suggest that due to global uncertainties, geopolitical risks, and central bank buying, prices could reach ₹1.5-1.75 lakh per 10 grams. However, a short-term correction of 10-20% is possible. Recovery is also anticipated for silver, although it may remain more volatile.

If you're considering purchasing, this dip could present a buying opportunity. Experts recommend keeping an eye on support levels around ₹1,60,000-1,65,000. The market remains unstable—stay alert and monitor global news!