Page 9 - Bullion World Issue 02 Volume 06 February_2026

Bullion World | Volume 6 | Issue 02 | February 2026

MESSAGE

From

THE EDITOR

Dear Readers,

January 2026 will be remembered as one of the most MCX responded to the unprecedented volatility through
historic months ever for gold and silver for some a series of calibrated measures such as increase in margins
time to come. What unfolded during the month was (as outlined by SEBI), increasing bullion collateral limits
unseen, unprecedented and sudden. Average INR (from 100 cr. To 200 cr.) and so on. In the options segment,
gold prices in January 2026 increased by 9.6 % over an expansion of the options strike price band from ₹250
average December 2025 prices, while gold price ranged to ₹1,000 was made for silver. Similarly, the option price
between INR 1,35,080 and INR 1,80,779 levels (per strike band for gold was increased from ₹ 250 to ₹ 500.
10 grammes). Average INR silver prices in January
2026 increased by 44.5% from average December Cumulatively, these measures ensured there was no
prices, with highest and lowest price reported as default and the entire ecosystem functioned smoothly.
Rs.4,20,000 and Rs. 2,33,850 per kg respectively. Last but most important, a record 5.6 tons of gold bullion
(all forms) was delivered at the MCX against February
Thus, both gold and silver prices witnessed not only contract. Yes, a few participants felt that our ecosystem
sharp price movements but also intense intraday swings is very conservative in risk assessment and margining.
driven largely by exaggerated claims on the demand, Overall, the derivative marketplace such as MCX under
un-verified information and 'stock-out' fears. Gold and the supervision of SEBI ensured that despite such
Silver ETFs also witnessed heightened activity in January steep volatility in prices of gold and silver, the system
2026 with total gold AUM at INR 1,84,276 Crore and functioned flawlessly and delivered a steller performance
silver AUM at INR 1,16,727 crore. By the end of Jan 2026, both as a platform for risk management as well as a
gold and silver holding by the ETFs stood at 109.05 tons marketplace of choice for physical delivery of gold.
and 3439 tons respectively. While investment demand
scaled in line with price increase, only non-discretionary In this edition of Bullion World, we bring you
purchases were made at the jewellery shops. comprehensive highlights from the Union Budget,
followed by an exclusive feature on Goldbod. MMTC-
SEBI regulated derivative marketplace such as MCX PAMP shares insights into their pilot initiative on silver
showed extraordinary resilience in these turbulent buyback, offering a glimpse into the evolving dynamics
times. While the entire period from October 2025 till of the silver market. We also spotlight two leading
date has witnessed higher volatility, nothing comes international companies from the silver industrial
close to the one seen during the last week of January sector, recognized for their excellence in operations.
2026, especially 29th and 30th January. Silver prices Rounding off the issue, we present an exclusive one-
spanned (high-low) 44,000 rupees (11% of closing price) page feature on Dubai’s Gold District and an analysis of
and 91,000 rupees (31% of the closing price) on 29th cash settlement trends for precious metals in India.
and 30th January respectively. Gold prices spanned
(high-low) 22,971 rupees (13% of closing price) and
18,925 rupees (12 % of the closing price) on 29th and Best wishes,
30th January respectively. G Srivatsava
Editor

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please write to editor@bullionworld.in

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