Gold and silver prices declined significantly on October 22, 2025, marking the third consecutive day of decline for gold and the second for silver, as investors engaged in profit booking following a historic rally that saw both precious metals touch record highs earlier this week.​

Gold Prices Across Indian Cities

24-Karat Gold Rates:

On Wednesday, October 22, 2025, the price of 24-karat (pure) gold stands at approximately ₹1,27,200 to ₹1,28,084 per 10 grams across major Indian cities. The MCX (Multi Commodity Exchange) December gold futures traded at ₹1,28,000 per 10 grams, down by ₹271 or 0.21% from the previous close.​

City-wise breakdown for 24-karat gold per 10 grams:

• Delhi: ₹1,27,350​

• Mumbai: ₹1,27,200​

• Chennai: ₹1,27,200​

• Bengaluru: ₹1,27,200​

• Kolkata: ₹1,27,200​

• Ahmedabad: ₹1,27,250​

• Pune: ₹1,27,200​

• Hyderabad: ₹1,27,200​

22-Karat Gold Rates:

The price of 22-karat gold, commonly used for jewelry, stands at approximately ₹1,16,600 to ₹1,17,410 per 10 grams.​

City-wise breakdown for 22-karat gold per 10 grams:

• Chennai: ₹1,16,600 (highest among metros)​

• Delhi: ₹1,16,750​

• Mumbai: ₹1,16,600​

• Bengaluru: ₹1,16,600​

• Kolkata: ₹1,16,600​

• Ahmedabad: ₹1,16,650​

• Pune: ₹1,16,600​

• Hyderabad: ₹1,16,600​

Silver Prices Across Indian Cities

Silver prices on October 22, 2025, witnessed a decline and are currently trading at ₹1,63,900 per kilogram or ₹163.90 per gram in most major cities.​

City-wise silver rates per kilogram:

• Mumbai: ₹1,63,900​

• Delhi: ₹1,63,900​

• Kolkata: ₹1,63,900​

• Bengaluru: ₹1,63,900​

• Pune: ₹1,63,900​

• Ahmedabad: ₹1,63,900​

• Chennai: ₹1,81,900​

• Hyderabad: ₹1,81,900​

• Kerala: ₹1,81,900​

Silver rates fell by ₹100 per kilogram from the previous day. The MCX silver futures also softened, falling by ₹327 or 0.22% to ₹1,50,000 per kilogram.​

International Market Trends

In the international market, spot gold was trading at approximately $4,109 to $4,115 per ounce on October 22, down 0.3% to 0.4%. This follows a dramatic 5.5% plunge on Tuesday, October 21, which marked the steepest single-day decline since August 2020.​

Gold had reached an all-time high of $4,381.21 per ounce on Monday, October 20, before the sharp correction. The precious metal has rallied approximately 56-63% year-to-date in 2025, driven by geopolitical uncertainties, central bank buying, and expectations of Federal Reserve interest rate cuts.​

Spot silver was trading at approximately $48.29 to $48.93 per ounce on October 22, recovering slightly after dropping over 5% in the previous session. Silver had touched a record high of $54.47 per ounce earlier this week. Year-to-date, silver prices have surged approximately 44-78%.​

Reasons Behind the Price Decline

Profit Booking: Market analysts attribute the recent decline primarily to investors securing profits after gold and silver’s unprecedented rally. Following weeks of continuous gains, traders are locking in gains from positions accumulated at lower prices.​

Easing US-China Trade Tensions: Signs of improving trade relations between the United States and China have reduced safe-haven demand for precious metals. US President Donald Trump expressed optimism about reaching a fair trade deal with Chinese President Xi Jinping at their upcoming meeting in South Korea.​

Stronger US Dollar: The US dollar index gained strength, rising 0.4%, making gold more expensive for investors holding other currencies. A stronger dollar typically puts downward pressure on dollar-denominated commodities like gold and silver.​

Awaiting US Inflation Data: Investors are cautiously waiting for the US Consumer Price Index (CPI) report for September, scheduled for release on Friday, October 24. The report, delayed due to the US government shutdown, is expected to show headline inflation accelerating to 3.1% year-over-year. These figures will provide crucial insights into the Federal Reserve’s future interest rate decisions.​

Post-Diwali Market Dynamics: In India, festive demand during Dhanteras saw gold and silver jewellery sales rise by 35-40% across the country. However, analysts expect demand to ease after Diwali, contributing to the weaker opening in domestic markets.​

Market Outlook

Despite the recent correction, experts maintain a positive long-term outlook for precious metals. The Federal Reserve is widely expected to cut interest rates by 25 basis points at its October 28-29 meeting, with 115 of 117 economists surveyed forecasting this reduction. Lower interest rates reduce the opportunity cost of holding non-yielding assets like gold, historically supporting higher precious metals valuations.​

HSBC has forecasted that gold could reach $5,000 per ounce by mid-2026 amid continued global economic uncertainty. Matt Simpson, senior analyst at StoneX, commented that the current decline is “merely a technical adjustment in a market that evidently required a correction after a prolonged period above $4,000,” adding that “dips will probably continue to attract buyers”.​

Gold prices in India have surged nearly 60% since the beginning of 2025, driven by geopolitical uncertainty, trade tensions, and macroeconomic factors. Silver prices in India have also experienced strong gains throughout October 2025, with the metal rising 8.54% from ₹1,51,000 per kg on October 1 to ₹1,63,900 on October 22.​

Note: Gold and silver prices vary across cities due to local taxes, transportation costs, and demand fluctuations. The rates mentioned do not include GST and making charges for jewelry.