Gold, Silver Rates Today (May 12, 2026): Should You Buy Bullion Now As Rates Hover Near Record Highs? Check Rates In Chennai, Mumbai, Delhi, And More

Gold, Silver Rates Today (May 12, 2026): Gold prices in India inched down on Tuesday after Prime Minister Narendra Modi urged the nation to put off purchases of non-essential gold for a year to protect India’s external balances. Increasing geopolitical tensions in the Middle East and a crude oil price jump on Tuesday tempered volatile bullion markets. Silver prices still ruled high near record levels.

Gold prices drop but bullion market is still hot

Gold prices in India were trading marginally lower on Tuesday even as rates continued to trade near historic highs across major cities. The fall comes as investors weigh worries about domestic demand with growing global uncertainty.

Market sentiment soured after US President Donald Trump reportedly rejected Iran’s peace proposal, raising fears of renewed conflict in West Asia and pushing crude oil prices higher again.

Gold prices were slightly lower, while silver prices stayed strong, highlighting robust investor interest in safe-haven assets in the face of volatile global conditions.

Spot gold was down 0.1% at $4,728.29 an ounce in Singapore trading, while spot silver was 0.1% lower at $85.94, Bloomberg reported.

Today’s gold price in India

Gold prices stayed above the ₹15,400-per-gram mark for 24-carat gold in major cities of India on May 12.

According to the data from the Bullion website, Chennai topped the chart of the highest gold prices in the country, with the southern cities still reporting the highest rates.

Today’s Indian benchmark gold prices were at: 

24K Gold: ₹15,433 per gram
22K Gold: ₹14,147 per gram
18K Gold: ₹11,575 per gram

Why Gold Prices Are So Volatile

Gold responds to a host of triggers, analysts say.

On one hand, PM Modi’s appeal not to buy gold for a year unless it is absolutely necessary has put some pressure on sentiment in the domestic jewellery market. The move aims to ease pressure on India’s foreign exchange outflows amid high crude oil prices.

Bullion prices, on the other hand, are also being propped up by uncertainty globally. Gold is gaining traction among investors on its safe-haven demand due to the US-Iran tensions, crude over $100 a barrel, fear of inflation and a falling rupee. According to market experts, any more spike in Brent crude prices or flare-up in geopolitical tensions might soon push bullion prices upward once more.

Silver prices remain high

Elsewhere in India, silver prices held steady at around the ₹2.79 lakh per kilogram level in some cities.

Silver Price Today In India

Chennai and Hyderabad traded at premium silver rates over other metros, according to Bullion’s website.

Expectations of industrial demand, global economic uncertainty and rupee weakness also boosted silver prices today.

What is behind the prices of gold and silver?

Global and domestic factors, including these, are currently driving both gold and silver, say bullion analysts:

Crude oil price movement 
US-Iran geopolitical strains
Expected inflation
US dollar activity
The rupee falls 10 paise against the dollar.
Central bank policy
Interest as safe-haven investment

A more depreciated rupee typically leads to a higher cost of bullion imports for India, even if global prices are stable.

Should I buy gold and silver now?

It depends upon your investment horizon

Experts say geopolitical headlines, crude oil movement and US inflation data expected this week mean volatility is likely to stay extremely high for short-term trading opportunities.

However, gold and silver remain popular hedging assets for long-term investors during times of economic uncertainty, inflation fears and currency weakness.

While current levels seem overvalued and a sharp rally was witnessed in bullion in the last few months, experts advise a systematic booking. However, they advise buyers to not invest a lump sum but systematically buy at current levels too.

Meanwhile, investors are focusing on the potential of silver, which has the duality of being a precious as well as an industrial commodity.

What to watch for going ahead

Given that gold and silver are trading around all-time highs, traders and investors will be looking at:

Brent crude oil price changes
US inflation figures
Geopolitical developments in Western Asia
Rupee movement against the dollar, MCX gold and silver futures trend

Any major trigger at the global level can lead to bullion prices swinging sharply in the coming sessions.

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(Disclaimer: This article is for informational purposes only and should not be considered investment advice. The views, opinions, and recommendations expressed herein are those of the respective experts. Readers are advised to consult a qualified financial advisor before making any investment decisions.)