He points to rising tensions in regions such as Iran, Venezuela and Greenland, weak and mixed US job data, higher tariffs planned by the US government, and recent politically sensitive developments related to the US Federal Reserve as key triggers.
On gold, Mehta said buying interest is coming largely through exchange-traded funds (ETFs), including strong inflows from India. Silver, on the other hand, is seeing heavy physical demand across global markets, including China and Dubai.
He highlighted that silver is currently trading at premiums in key hubs, with Dubai quoting nearly a $3 premium and Iran around $2. In India, domestic prices reflect this global tightness, with MCX gold trading about ₹1,200 higher and silver nearly ₹6,000 higher compared to global benchmarks. In dollar terms, gold is higher by around $40, while silver is up $2.5–3.
Given these trends, Mehta does not expect a sharp correction. “There can be a small correction, but not a great correction of 10% or 20%,” he said.
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Mehta believes that any short-term dip in prices will attract buyers rather than trigger selling. According to him, clarity on US policy direction is crucial for prices to cool meaningfully. He also pointed to China’s restrictions on silver exports and Russia’s stance on oil and gold holdings as factors keeping supply-side worries alive.
“Every dip is a buying opportunity,” he said, adding that as long as major global players like China, Russia and the US do not align on key economic and geopolitical issues, prices are likely to stay firm.
He also noted that India remains a price taker, not a price discoverer, in global gold and silver markets, limiting its influence on international pricing.
While Mehta’s first target for silver is $95, he sees further upside if that level is crossed decisively.
“If we cross $95 in the next 60 to 90 days, then my next target for silver would be about $110,” he said.
For the entire discussion, watch the accompanying video
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