International News
MELTDOWN! Gold, silver markets witness historic reversal
The global precious metals market witnessed a historic reversal. This “flash crash” follows a relentless multi-month rally that had recently pushed both metals to lifetime highs. COMEX silver rate was more than 31% lower than its lifetime high of $121.755 per ounce. The COMEX gold price ended over 11% lower at $4,763.10/oz.
Indian Gold and Silver ETFs saw declines of up to 20% in a single session.Gold futures expiring on February 5, 2026, slid by as much as Rs 11,000, or 6.5%, to settle at Rs 1,59,984 per 10 grams. Silver contracts for March 5, 2026, delivery saw an even steeper decline, plunging Rs 68,000, or 16.6%, to Rs 3,34,503 per kg – going below the Rs 3.5 lakh per kg mark.
President Trump’s nomination of Kevin Warsh to replace Jerome Powell as Fed Chair has rattled markets.The US Dollar surged following the Fed announcement, making dollar-denominated metals more expensive for international buyers and prompting immediate profit-booking.
The Chicago Mercantile Exchange (CME) implemented aggressive margin increases for silver and gold. This forced highly leveraged traders to liquidate positions, triggering a “margin call” domino effect that drained market liquidity.
CME Group is raising margins on Comex gold and silver futures after prices suffered their biggest slides in decades.Gold margins will rise to 8% of the value of the underlying contract from the current 6% for a non-heightened risk profile. The heightened risk profile margins will be increased to 8.8% from the current 6.6%, it said.
Silver margins will climb to 15% from the current 11% for a non-heightened risk profile, while the heightened risk profile margins will be hiked to 16.5% from the current 12.1%, according to the statement. Platinum and palladium futures’ margins will also be boosted.
International News
Gold, silver struggle amid Fed, oil uncertainty AUGMONT BULLION REPORT
Safe Haven Dynamics – Gold and silver remain under pressure, hovering below key psychological levels of $5000 and $80 respectively, as investors stay cautious ahead of the Federal Reserve decision. Volatility in oil prices is complicating the inflation outlook, keeping real yields elevated and limiting upside in precious metals despite ongoing geopolitical risks.
Geopolitical Developments – Escalation in the US–Israel–Iran conflict, including strikes on energy infrastructure and disruptions in the Strait of Hormuz, has intensified supply concerns in oil markets. While such tensions typically support safe-haven demand, the inflationary impact of rising energy prices is delaying expectations of monetary easing, creating mixed signals for gold and silver.
Monetary Policy Stance – The Fed is expected to maintain a pause, reinforcing a “wait-and-watch” approach amid sticky inflation and a softening labor market. Similar policy stances by ECB, BoE, and BoJ indicate a synchronized global pause. The key trigger for metals will be forward guidance—any dovish tilt could revive bullish momentum.
Technical Triggers
Gold briefly broke the key $5000 (~Rs.157,000) support and short-term bias remains bearish, with strong support seen around $4850 (~Rs.150,000).
Silver has also slipped below $80 (~Rs.255,000), and a renewed break below $77 (~Rs.247,000) could trigger further profit-booking, dragging prices towards $70 (~₹230,000) in the near term.
Support and Resistance
| Metal | Market | Support Level | Resistance Level |
|---|---|---|---|
| Gold | International | $4850/oz | $5250/oz |
| Gold | Domestic | ₹158,500/10 gm | ₹165,000/10 gm |
| Silver | International | $77/oz | $85/oz |
| Silver | Domestic | ₹247,000/kg | ₹268,000/kg |
Source : AUGMONT BULLION REPORT
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