After a volatile 48 hours that saw India’s bullion market retreat from its historic peaks, the “yellow metal” is shining once again. On February 07, 2026, gold and silver prices staged a significant recovery, offering a sigh of relief to investors who watched billions in value evaporate during a sharp two-day correction.
The Great Rebound: A Breakdown of the Numbers
A substantial jump led the recovery in the price of 24K gold, which surged by ₹2,890 per 10 grams, bringing the rate to approximately ₹1,56,600. This bounce-back follows a staggering decline earlier in the week, in which 100-gram units of 24K gold plummeted by over ₹57,000 in a two-day sell-off.
Current Market Rates (February 7, 2026):
- 24K Gold: ₹1,56,600 per 10 grams (Up ₹2,890)
- 22K Gold: ₹1,43,550 per 10 grams (Up ₹2,650)
- 18K Gold: ₹1,17,450 per 10 grams (Up ₹2,170)
- Silver: ₹2,85,000 per kg (Up ₹10,000)
Why the Sudden Swing?
The bullion market has been a rollercoaster since late January, when gold hit an all-time high of ₹1.83 lakh per 10 grams. Market analysts attribute the recent volatility to a “perfect storm” of global and domestic factors:
- US Policy Shifts: The nomination of Kevin Warsh as the next US Federal Reserve Chair has sent ripples through the commodity markets. Known for a more “hawkish” stance, the central bank initially sparked a massive liquidation of non-yielding assets like gold.
- Bargain Hunting: After the price crashed nearly 17% from its January highs, institutional and retail investors viewed the dip as a “buy-the-dip” opportunity, leading to the sharp recovery we are seeing today.
- RBI’s Stance: Domestically, the Reserve Bank of India’s decision to maintain the repo rate at 5.25% provided a sense of stability, even as it dampened immediate hopes for cheaper liquidity.
Expert Outlook: Is it Time to Buy?
For the readers of Business Outreach, the question remains: is this a temporary “dead cat bounce” or a return to the long-term bull trend?
According to commodity experts, while the immediate downside has been arrested, the market remains “fragile.” Immediate resistance for MCX Gold is seen in the ₹1,48,850 to ₹1,50,630 range. However, the structural case for gold remains strong. With ongoing geopolitical tensions and fiscal imbalances in major economies, gold continues to serve its primary purpose, a strategic hedge against uncertainty.
Silver’s Resurgence
Silver, often the more volatile sibling of gold, saw an even more dramatic recovery. After losing nearly ₹45,000 in just two days, the “white metal” jumped by ₹10,000 per kilogram today, settling at ₹2.85 lakh in major cities like Mumbai, Delhi, and Bengaluru.
Final Thoughts for the Investor
The recent crash and subsequent recovery serve as a stark reminder of the risks associated with “momentum trading” at historic highs. For long-term wealth preservation, experts recommend a neutral asset allocation, using these sharp corrections to gradually accumulate bullion rather than chasing peaks.
