Massive Fall In Gold Rates In Chennai On Maha Shivaratri: 24K/100g Yellow Metal Drop By Rs. 2,700

Gold prices in Chennai today experienced a big decline as the city celebrates Maha Shivaratri 2025. This drop in gold prices comes after a notable surge earlier in the week, driven by increased demand for the precious metal.

The heightened interest in gold leading up to Maha Shivaratri is a common trend, as it is an auspicious time to buy gold for religious and financial reasons. Market analysts attribute the drop to global factors, including fluctuations in the U.S. dollar index and broader economic conditions impacting gold prices worldwide.

Gold Rates in Chennai Today:

On 26th February, 22 carat gold rates in Chennai soared by Rs. 250 per 10 grams to cost Rs. 80,500 per 10 grams. The 24 carat gold rates also surged by Rs. 270 per 10 grams to cost Rs. 87,820. The cheaper variant, or the 18 carat gold, now costs Rs. 66,200, which surged by Rs. 200 per 10 grams

Silver Prices in Chennai Today

Silver prices in Chennai today declined by Rs. 2000 per kilogram of silver, and the price per kilogram costs Rs. 106,000, and 100 grams of white metal currently stand at Rs. 10,600, which rose by Rs. 200.

Chennai Gold Rates Movement in the Last Five Days

Over the last five days, the gold prices in Chennai have been quite volatile with major gains and losses.

Spot Gold and Silver Price Update

As reported by Reuters, gold prices saw a slight uptick on Wednesday after hitting a one-week low in the previous session. Investor concerns over former U.S. President Donald Trump's tariff policies dampened risk appetite, driving demand for safe-haven assets like gold. By 02:37 GMT, spot gold had risen 0.1% to $2,918.01 per ounce, following a more than 2% drop on Tuesday. Meanwhile, U.S. gold futures gained 0.5% to reach USD 2,932.50, while spot silver held steady at USD 31.74 per ounce.

MCX Gold and Silver Futures Outlook

Gold futures on the Multi Commodity Exchange (MCX), set to mature on April 4, 2025, saw a slight decline, trading at ₹85,619 after slipping 0.04%. In contrast, silver futures, expiring on March 5, 2025, registered a modest gain, rising by 0.04% to ₹93,889 during the trading session.

Gold Price Analysis and Outlook

Gold prices have retreated from record highs as traders capitalize on profits, leading to a slight pullback in the market. However, concerns over former U.S. President Donald Trump's tariff policies are expected to limit losses for the safe-haven metal.

As per FXStreet, expectations of further interest rate cuts by the Federal Reserve could provide support for gold (XAU/USD), acting as a bullish catalyst in the long term. Market participants are now closely watching key U.S. economic data; the primary focus, however, remains on Friday's release of the U.S. Personal Consumption Expenditure (PCE) Price Index, a crucial inflation gauge that may offer further insights into the Fed's interest rate trajectory. "Given the current market sentiment, gold prices may extend their decline, potentially testing the USD 2,800 support level in the near term," the FXStreet report said.