Gold and silver prices experienced a significant rally on Wednesday, November 4, 2026, across both domestic and international markets. The precious metals saw gains of up to 4%, primarily driven by a weakening US dollar, falling Treasury yields, and heightened political uncertainty in the wake of the US midterm elections.
On the Multi Commodity Exchange (MCX), December gold futures climbed approximately 2.36% to reach Rs 1.42 lakh per 10 grams. Silver futures saw an even more substantial surge, rising about 4.06% to approximately Rs 1.86 lakh per kilogram.
Internationally, spot gold gained 2.34% to trade above $4,023 per ounce, while silver advanced around 4% to $52 per ounce.
Why Precious Metals Are Rising
The rally in gold and silver prices followed the outcome of the US midterm elections, which reportedly showed Democrats gaining control of both chambers of Congress. This development introduced fresh uncertainty surrounding President Donald Trump's policy agenda, leading to a weaker US dollar and lower Treasury yields.
Market analysts indicate that these conditions make non-yielding assets like gold and silver more appealing to investors. The dollar index declined 0.54% to 101.17, further supporting bullion prices.
Future Outlook and Investor Considerations
While the recent surge is notable, analysts caution that political developments alone may not sustain the rally long-term. Future price movements for gold and silver will likely depend on factors such as US monetary policy, inflation rates, bond yields, and broader geopolitical developments.
Religare Broking has identified an accumulation range for gold at Rs 1.30 lakh–Rs 1.35 lakh per 10 grams and for silver at Rs 1.50 lakh–Rs 1.63 lakh per kilogram. The brokerage projects gold targets of Rs 1.50 lakh and Rs 1.58 lakh per 10 grams, with silver targets set at Rs 2.17 lakh and Rs 2.55 lakh per kilogram.
Investors should continue to monitor global central-bank purchases and investment flows, which remain key drivers of bullion demand. Gold ETFs, for instance, attracted $30.7 billion in inflows during the September quarter. While safe-haven demand is expected to support gold, higher US interest rates could cap gains. Silver, with its exposure to industrial demand, may experience greater volatility.