The silver market in India is experiencing extraordinary volatility as January 2026 draws to a close. After a historic rally that set the white metal on a new record before this week, prices have been massively corrected. Today, Jan 31, silver is down around ₹1.28 lakh per kg, from its all-time high two days prior.
The Great Correction
On Thursday, January 29, silver hit an incredible record high of ₹4,20,048 per kg on the Multi Commodity Exchange (MCX). But it was a "bullion bloodbath" on Friday, with prices falling nearly 17 per cent in a single session the steepest single-day plunge in more than 15 years. Analysts believe this crash is due to:Profit Booking: Investors scrambled to offload their long positions to lock in gains after a 75% January surge.
The “Warsh Effect”
A series of reports about the Trump administration appointing hawkish economist Kevin Warsh as its next Fed Chair has boosted the US Dollar and given precious metals a beating. Speculative Cooling: The technicals on the market indicated silver was in super "overbought" territory with a sharp pullback for sure.
Silver Rates Today: January 31, 2026 (Kg)
While the futures market (MCX) experienced wild fluctuations, prices at retail, and retail stores, in the largest cities in the country are steadier today.
| City | Silver Rate (1 Kg) | Change from Peak |
| Bengaluru | ₹3,94,900 | ↓ ₹1,28,137 |
| Chennai | ₹4,04,900 | ↓ ₹1,20,100 |
| Delhi | ₹3,94,900 | ↓ ₹1,28,137 |
| Mumbai | ₹3,94,900 | ↓ ₹1,28,137 |
| Hyderabad | ₹4,04,900 | ↓ ₹1,20,100 |
Note: These prices vary regionally, influenced by local taxes, transportation costs, and octroi by state prices.
Southern cities Chennai and Hyderabad are classic examples traditionally command a slight premium.
Monthly Performance Recap
Despite the recent crash, silver is one of the best performing assets of 2026 so far.
- January 1, 2026 : ₹2,38,000 per kg
- January 29, 2026 (Peak): ₹4,20,048 per kg
- January 31, 2026 : ₹3,94,900 per kg
The metal remains more than 65% ahead of the start of the year, still after the recent ₹1.28 lakh correction.
February Outlook
Commodity analyst says the ₹3,50,000 to ₹3,65,000 range will serve as a strong level of support for silver in the upcoming weeks. However, with the Union Budget 2026 on the horizon, along with the continued geopolitical tensions in the Middle East, volatility will probably be
