In a dramatic turn for precious metals markets, gold prices have skyrocketed by more than 2,300 rupees this week alone, reaching new heights amid global economic uncertainties. As investors flock to safe-haven assets, the yellow metal’s appeal has never been stronger. Domestic bullion exchanges reported spot gold trading at record levels, with 24-karat gold per 10 grams crossing key thresholds that have jewelers and investors alike on high alert.
Silver has not lagged behind, smashing past the 2.42 lakh rupees per kilogram mark for the first time in recent memory. This surge comes on the heels of volatile international cues, including a weakening rupee against the dollar and escalating geopolitical tensions in key regions. Market analysts point to a perfect storm of factors: persistent inflation fears, central bank gold buying sprees, and festive season demand ramping up in India.
‘Demand from both retail buyers preparing for Diwali and institutional investors hedging against market volatility has fueled this rally,’ said a veteran trader from Mumbai’s Zaveri Bazaar. Physical delivery premiums have widened, signaling robust local appetite despite high prices. Meanwhile, import duties and making charges are adding to the sticker shock for end consumers.
Looking ahead, experts caution that while short-term corrections are possible due to profit-taking, the overall uptrend remains intact. Upcoming US Federal Reserve decisions and Chinese economic data releases could dictate the next moves. For now, gold and silver continue to shine brighter than ever, reshaping investment portfolios across the nation.
