Amid profit-booking by speculators record levels and overnight losses in the global markets, silver failed to maintain its record high levels and prices tumbled by 5.5 per cent to Rs 40,525 per kg in futures trade today.
At the Multi Commodity Exchange counter, silver for delivery in December plunged Rs 2,327, or 5.5 per cent, to Rs 40,525 per kg, with a business turnover of just one lot. It hit a record high of Rs 43,174 per kg in the previous session.
Likewise, the metal for delivery in March crashed by Rs 2,177, or 5.1 per cent, to Rs 40,703 per kg, with a turnover of two lots.
Market analysts attributed fall in silver prices at the futures market to major sell-off by speculators, who booked profits at record highs and and a fall in its prices overseas.
"The fall in silver seems to be temporary, as speculators may re-enter to create huge positions", said an analyst.
Meanwhile, silver in overseas markets fell by 2.92 per cent to $26.95 an ounce, after touching a fresh 30-year fresh high of $29.36.