Silver Prices Fall 0.12% Amid Strong Dollar and Geopolitical Uncertainties

On 2 September 2026, the price of 1 gm of silver was ₹234, and the price of 1 kg of silver was ₹234,070, reflecting a loss of 0.12% compared to its previous close. Meanwhile, the 10 gm silver rate is at ₹2,341. Silver prices in India are largely influenced by international spot silver rates, US dollar fluctuations, and import duties on silver among other things. Silver prices are trending down, weighed down by a strong dollar and renewed geopolitical uncertainties between the US and Iran. A firm greenback makes non-interest-bearing assets less appealing for investors as it increases the opportunity cost of holding them. Crude oil prices rose as Washington and Tehran carried out a wave of fresh strikes against each other, raising concerns over supply disruptions through the Strait of Hormuz . High oil prices also stoke inflationary concerns, weighing negatively on precious metals like silver. ALSO READ Silver tumbles 6% from August highs: Will the Fed’s hawkish turn push metal to $55 support? Traders now weigh in a 70% chance of a rate hike by the US Federal Reserve at its upcoming meeting. Higher interest rates environment dampens the appeal of non-interest-bearing assets like gold and silver. Analysts suggest silver may remain range-bound in the near term in the near term as markets watch out for developments in the West Asia conflict. High dollar and elevated crude oil prices continue to weigh negatively on the white metal, which has fallen around 6% over the last week. “Overall near-term bias stays bearish with a break below $64.000; a sustained move above $65.000 could improve momentum and stabilize the current weakness,” said Ponmudi R, CEO of Enrich Money. For further cues on silver prices, markets will look out for key US economic data due on Friday. Retail investors are advised to track not just domestic rates but also international trends before making buying decisions. ALSO READ Gold, Silver Under Pressure: Oil, rising yields threaten further price fall