Silver shines more than gold, will the price cross Rs 1.25 lakh?

Silver Price Forecast: The festive season has arrived in India. The festive sales have started on online platforms, and soon this season will officially start from Navratri. At this time, the gold and silver market is seeing a boom. However, this year silver has performed better than gold, and experts predict that the price of silver may cross Rs 1.25 lakh per kg in the coming months.

Increased demand in festive season

The demand for gold and silver increases rapidly during the festive season in India. Traditionally, people buy gold and silver jewelery fiercely on festivals like Dhanteras and Diwali. Apart from this, the wedding season starts soon after the festive season, which further increases the demand for these metals. At this time, people also invest in gold and silver for investment purposes, as these metals have good potential for profit in the short-term.

Silver gave more returns than gold

According to recent data, silver has given better returns than gold. Ever since the US Federal Reserve cut interest rates by 0.5 percent, the prices of gold and silver have jumped.

After this cut, the price of silver has increased by about 5%, while the price of gold has increased by only 3.5%. Due to the better performance of silver, investors are investing more money in it. Another reason for the increase in silver returns is also its industrial use. Silver is used extensively in industries like electronics, batteries and semiconductors. Apart from this, due to the reduction in interest rates by the Central Bank of China, the industrial demand there has increased, due to which silver prices are also seeing a jump.

Will the price of silver cross 1.25 lakhs?

The current price of silver in India is around Rs 93,000 per kg, which includes 3% GST. Experts believe that as soon as the price of silver crosses the level of Rs 1 lakh per kg, there may be a correction in the market for some time. This correction will mostly be due to psychological reasons, as the figure of Rs 1 lakh is considered an important level. However, despite this, the demand for silver may remain.

According to Prithviraj Kothari, President of the Indian Bullion and Jewelers Association, despite the correction, silver prices can reach Rs 1.25 lakh per kg in the next 6 to 9 months. Currently, the price of silver in the international market is $ 31.18 per ounce, and it is expected to rise further in the coming time.

Opportunity for investors

With the demand for gold and silver increasing in the festive season and wedding season, this may be the right time to invest in these metals. Especially silver, which has performed better in recent months, can give good returns to investors.