Gold Prices Ease for Second Consecutive Day as Investors Book Profits

Gold prices in India witnessed a decline for the second day in a row on Saturday, October 4, 2025, as profit booking and a rebound in the U.S. dollar slowed down fresh buying momentum. After hitting record highs during the recent festive season, the yellow metal has now come under slight pressure in both domestic and international markets.

Why Gold Prices Are Falling

The recent dip comes after a sharp rally in September, when gold consistently touched new all-time highs. The surge was driven by strong festive demand in India, subdued performance in domestic equity markets, hopes of further interest rate cuts by the U.S. Federal Reserve, and a weaker dollar. Moreover, soft U.S. labor data had fueled expectations of monetary easing, giving additional support to gold.

However, with investors now locking in profits and the dollar recovering, the buying pace has cooled down. This has led to a correction in both the futures market and physical bullion trade across major Indian cities.

Current Gold Rates in Key Indian Cities

Gold prices are currently showing a similar trend across most metropolitan regions, with slight variations depending on local taxes and demand. Here are the latest rates as of October 4, 2025:

• Delhi:

  • 22-carat gold – ₹108,790 per 10 grams

  • 24-carat gold – ₹118,670 per 10 grams

• Mumbai:

  • 22-carat gold – ₹108,640 per 10 grams

  • 24-carat gold – ₹118,520 per 10 grams

• Chennai:

  • 22-carat gold – ₹108,640 per 10 grams

  • 24-carat gold – ₹118,520 per 10 grams

• Kolkata:

  • 22-carat gold – ₹108,640 per 10 grams

  • 24-carat gold – ₹118,520 per 10 grams

• Jaipur, Lucknow, Chandigarh:

  • 22-carat gold – ₹108,790 per 10 grams

  • 24-carat gold – ₹118,670 per 10 grams

• Ahmedabad, Bhopal:

  • 22-carat gold – ₹108,640 per 10 grams

  • 24-carat gold – ₹118,570 per 10 grams

• Hyderabad:

  • 22-carat gold – ₹108,640 per 10 grams

  • 24-carat gold – ₹118,520 per 10 grams

The prices reflect the prevailing retail market rates and may vary slightly depending on the jeweler and city-specific demand.

Silver Prices Also Slide

Just like gold, silver has also seen a pullback. On October 4, silver dropped by ₹100 to ₹1,51,900 per kilogram. A day earlier, on October 3, silver had already fallen by ₹500 in Delhi’s bullion market, closing at ₹1,50,000 per kilogram.

Interestingly, silver has outperformed gold in terms of percentage gains over the past month. In September, silver prices surged by nearly 19.4%, compared to a 13% rise in gold during the same period. Analysts note that silver is not just a safe-haven asset but also has strong industrial demand, accounting for nearly 60–70% of its total consumption. This makes it an attractive investment option, especially when industries such as electronics and renewable energy drive demand.

What Investors Should Watch Next

Market experts suggest that gold may continue to see volatility in the short term. With global economic uncertainties, U.S. monetary policy decisions, and domestic festive demand still playing a role, investors can expect fluctuations in prices. The upcoming Diwali season is likely to bring renewed buying interest, though profit booking and international market cues will remain crucial in determining the trend.

For now, both gold and silver remain attractive investment options, but traders are advised to keep an eye on global market signals and the movement of the dollar.