New Delhi– Gold prices in India soared to historic levels on Tuesday, with 24-carat gold crossing the Rs 1,00,000 mark per 10 grams for the first time ever.
According to the India Bullion and Jewellers Association (IBJA), the price of 24-carat gold surged from Rs 96,670 to Rs 1,00,000 per 10 grams — a sharp increase of Rs 3,300 within 24 hours.
Other gold categories also saw significant gains. The price of 22-carat gold climbed to Rs 97,600 per 10 grams, 20-carat gold reached Rs 89,000, and 18-carat gold touched Rs 81,000 per 10 grams.
On the Multi Commodity Exchange (MCX), October futures briefly surpassed the Rs 1 lakh mark, hitting an all-time high of Rs 1,00,484 per 10 grams — rising nearly Rs 2,000, or 2 percent, in a single day.
Market experts attributed the dramatic price surge to heightened global demand for gold as a safe-haven asset amid ongoing geopolitical and economic uncertainty.
“The yellow metal’s new all-time high is primarily driven by escalating tensions between President Trump and Federal Reserve Chair Jerome Powell over potential interest rate cuts,” said Colin Shah, Managing Director of Kama Jewellery.
Global instability, including President Trump’s recent tariffs on Chinese goods and criticism of Fed policy, has added to market volatility, prompting investors to flock to gold as a secure investment.
A weakening U.S. dollar and expectations of further interest rate cuts by the Federal Reserve have also made gold more attractive. Lower interest rates reduce the opportunity cost of holding non-yielding assets like gold, encouraging greater investment.
Another key driver behind the surge is the increased accumulation of gold reserves by central banks around the world, including India and China. This strategy, known as de-dollarization, aims to reduce dependence on the U.S. dollar and strengthen financial resilience in times of global economic uncertainty.
“While gold prices are on an upward trajectory, the decline of the dollar is making gold more affordable in other currencies, keeping global demand relatively stable,” Shah noted.
He added that in India, gold prices typically see a seasonal uptick around festivals such as Akshaya Tritiya, driven by increased consumer demand.
With these global factors continuing to influence markets, analysts expect gold prices to remain elevated in the near term. (Source: IANS)
