Mumbai: India’s benchmark equity indices commenced trading on a weak note Tuesday morning, pulled down by sharp losses in heavyweight Reliance Industries, which plunged nearly 3% during early trade hours. The S&P BSE Sensex declined 238.67 points to settle at 85,200.95, while the NSE Nifty50 dropped 57.15 points to 26,193.15 as of 9:22 am.
Dr. VK Vijayakumar, Chief Investment Strategist at Geojit Investments Limited, observed that American markets have broadly disregarded the Venezuelan crisis and continued their upward trajectory. He noted that market sentiment suggests the economic ramifications of this significant geopolitical development may not prove detrimental—potentially offering medium to long-term benefits as crude oil prices decrease due to enhanced Venezuelan supply. However, he cautioned against premature conclusions, given the likelihood of additional geopolitical surprises in an exceptionally uncertain environment.
Vijayakumar recommended that investors consider elevating cash holdings in their portfolios while maintaining their equity positions. The extraordinary uncertainty stemming from unprecedented geopolitical developments necessitates a prudent investment approach backed by increased liquidity to capitalize on abrupt market movements. He highlighted that the banking sector is advancing toward a more robust position, supported by accelerating credit expansion, despite ongoing challenges in deposit accumulation.
Silver Hits ₹2.49 Lakh on MCX Amid Safe-Haven Demand
White metal prices extended their bullish momentum Tuesday, surging 1.41% to reach ₹2,49,600 per kilogram on the Multi Commodity Exchange, mirroring gains witnessed in global markets. Delhi’s silver rates jumped over ₹3,000 per kg during morning trade, with bullions.co.in data showing prices at ₹2,48,610 per kilogram in the capital.
Internationally, silver climbed 5.2% to $76.37 per ounce, continuing its explosive rally after recording a 147% appreciation in 2025. The surge has been fueled by its classification as a U.S. critical mineral and a structural supply shortage confronting rising consumption.
The white metal’s ascent persists amid escalating geopolitical friction between the United States and Venezuela. Washington executed a military operation in Venezuela on Saturday, resulting in President Nicolás Maduro’s capture—marking America’s most direct Latin American intervention since the 1989 Panama incursion. President Donald Trump warned of possible additional military measures should Caracas resist U.S. efforts to liberalize Venezuela’s petroleum industry and combat narcotics trafficking, while also suggesting potential actions against Colombia and Mexico regarding illegal drug flows.
“Gold and silver values soared Monday amid intensified volatility, driven by safe-haven appetite following the U.S. detention of Venezuelan President Nicolas Maduro on drug trafficking allegations. This incident has magnified geopolitical hazards and contributed to worldwide uncertainty. The U.S. President’s threats directed at Colombia, Cuba, and Mexico concerning drug shipments further dampened investor confidence. Reports indicating Swiss banking institutions are moving to confiscate Maduro-associated assets have additionally bolstered precious metal valuations,” explained Rahul Kalantri, VP Commodities at Mehta Equities Ltd.
Investment Outlook: Buy or Book Profits?
Anuj Gupta, Director at Ya Wealth, identified that MCX silver rates are encountering resistance at the ₹2,50,000 per kg threshold, while establishing firm support within the ₹2,42,000 to ₹2,40,000 per kg band. Gupta projected that breaching the ₹2,50,000 barrier could propel the white metal toward testing the ₹2,55,000 per kg level.
Read More: How US Attack On Venezuela Impacts India’s Stock Market, Crude Oil Bill
Conversely, Ponmudi R, CEO of Enrich Money, suggested the current rally in silver favors profit-taking rather than accumulation. He stated that the bullish trend channel remains undisturbed, with each price decline attracting fresh buying interest. A sustained advance beyond ₹2,42,000 would reinforce the upward trajectory, creating pathways toward the ₹2,46,000–₹2,55,000 range. Robust support exists in the ₹2,42,000–₹2,40,000 zone, with the overall technical structure continuing to favor accumulation over profit-booking, positioning silver as a high-volatility yet potentially high-reward complement to gold within the ongoing precious metals bull cycle.
Disclaimer: This article is intended for educational purposes only. Readers should consult with qualified investment advisors before making any financial decisions.