Silver Soars Amid Economic Uncertainty as Tariffs Take Toll

In a significant response to new US tariffs on Indian products, silver prices soared by Rs 2,000, reaching an unprecedented high of Rs 1,20,000 per kilogram in the capital on Wednesday. Traders are increasingly turning to safe-haven assets amid economic uncertainties.

The All India Sarafa Association reported that the white metal had already surged by Rs 3,000 to Rs 1,18,000 per kilogram the previous day. Gold also saw significant price hikes, with 99.9% purity gold rising by Rs 500 to Rs 1,01,270 per 10 grams, including all taxes, reflecting broader concerns in the commodities market.

Renisha Chainani, Head of Research at Augmont, noted that the rise in gold and silver prices aligns with increased political unpredictability following President Donald Trump's sudden dismissal of Federal Reserve Governor Lisa Cook. This move has sparked debates over the Fed's autonomy and its ability to set monetary policy independently of political influence.

(With inputs from agencies.)