Silver Eases to 2550 Rupees per 10 Grams in South India
Chennai, Hyderabad, and Kerala saw a 50 rupee drop per 10 grams on Tuesday, while seven other major Indian cities held steady at 2500 rupees.
Key points
- Silver prices in Chennai, Hyderabad, and Kerala fell to 2550 rupees per 10 grams on Tuesday.
- Seven major Indian cities maintained a steady rate of 2500 rupees per 10 grams unchanged from Monday.
- Southern markets hold a 50 rupee premium over the national average despite the recent price drop.
Silver prices fell by 50 rupees per 10 grams in Chennai, Hyderabad, and Kerala on Tuesday. The national benchmark rate remained unchanged at 2500 rupees per 10 grams across seven other major cities.
The decline in South Indian markets partially reversed the sharp jump seen at the start of the week. These three regions now trade at a 50 rupee premium over the rest of the country.
Stable rates in seven major cities
Mumbai, Delhi, Kolkata, Bangalore, Pune, Vadodara, and Ahmedabad all quoted 2500 rupees per 10 grams. This price point matches Monday's closing rates exactly for these locations.
Dealer forums track these daily rates which move with international silver prices. Local supply and demand factors play only a marginal role in shifting city-level rates.
Regional premiums persist in southern markets
Chennai, Hyderabad, and Kerala dropped from 2600 rupees to 2550 rupees per 10 grams. This move pared back part of the previous session's increase without eliminating the regional premium.
The 50 rupee difference between southern cities and the national average remains intact. Buyers in these regions continue to pay more than those in the north and west.
Retail buyers face extra costs
Jewelry and ornaments cost more than the flat bullion rates due to making charges. A 3 percent GST is also levied on metallic silver purchases.
Investors seeking exposure without physical storage can consider Silver ETFs. These funds track the metal's price directly and avoid purity checks and storage hassles.
