Precious Metals Market Update: February 12, 2026 Gold and silver futures faced downward pressure during early Thursday trading as a resurgent **US Dollar Index** climbed to **97.01**. The rally follows a robust January employment report revealing an unexpected addition of **130,000 non-farm payrolls**, significantly exceeding the forecasted **55,000**. This labor market resilience has cooled expectations for early Federal Reserve interest rate cuts, with many traders now shifting projections for the first reduction to **July 2026**. Spot gold slipped roughly **0.4%** to trade near **$5,058 per ounce**, while US gold futures for April delivery settled around **$5,080**. In the domestic market, MCX gold futures are hovering near the **₹1,59,750 per 10 grams** mark. Despite the morning's dip, gold remains within striking distance of its psychological barrier of **₹1.60 lakh**, having recovered nearly **97%** of its early February losses. Silver experienced a sharper correction, with spot prices falling **2%** to approximately **$82.20 per ounce**. On the MCX, silver futures for March delivery are trading near **₹2,89,900 per kg**, a notable consolidation after a volatile month that saw the metal peak at **₹3,50,000** on February 1. The gold-to-silver ratio remains elevated at **85:1**, suggesting silver may be undervalued relative to gold at current levels. Market Drivers and Sentiment The primary headwind remains the strengthening greenback, which makes dollar-denominated metals more expensive for international buyers. Investors are now laser-focused on upcoming **US inflation data**, which will provide critical clues for the Federal Reserve’s policy path. Current forecasts suggest core inflation could peak at **3%** in the second quarter of **2026** before moderating later in the year. While short-term volatility persists, structural support remains firm. Central banks, led by the People's Bank of China, continue to expand gold reserves as part of broader de-dollarization strategies. Geopolitical tensions in the Middle East and ongoing fiscal uncertainty in major economies further bolster the metal's status as a premier safe-haven asset. Technical Outlook Analysts suggest a "buy on dips" strategy remains effective for retail investors. Gold maintains a positive bias as long as it stays above the **$5,000** psychological support level. On the domestic front, a decisive break above **₹1,60,000** could signal a resumption of the primary uptrend. For silver, immediate support is identified at the **₹2,80,000 per kg** zone. Experts believe that if industrial demand from the green-tech and 5G sectors accelerates alongside a potential dollar softening, silver could retest the **₹3,30,000** resistance level in the medium term.