Gold Prices in India Reach New Heights, Silver Hits Record High
Amid rising expectations for an interest rate cut in the US, gold prices in India rose to Rs 1,29,650 on Monday, while silver in the spot market hit a record high. The price of gold in India has been on the rise, driven by a combination of factors including a weaker US dollar, geopolitical tensions, and a decline in interest rates.
However, spot gold fell after its Friday’s session ended 0.28% higher, trading around $4,267 an ounce. Despite the pullback from record high last month, gold remains on course for its strongest annual gain since 1979, having reached a series of record highs before retreating last month. US rate cuts have underpinned prices, which have also been buoyed by inflows into bullion-backed exchange-traded funds and sustained central bank buying.
Factors Driving Gold and Silver Prices
Economists at Macquarie Group expect prices to decline over the next year following a 50% year-to-date surge. ‘With global growth beginning to recover, central bank easing cycles nearing completion, real interest rates still relatively high, and tensions between the US and China easing (for now), we believe the near-term peak has been reached,’ strategists including chief economist Ric Deverell wrote in a note earlier this month.
In addition to these factors, the price of gold and silver in India is also influenced by local demand, particularly during festivals and weddings. The country is one of the largest consumers of gold and silver, and any changes in demand can have a significant impact on prices. To stay up-to-date with the latest gold and silver prices, visit our website and check out our gold price in India page.
Gold and Silver Prices in Major Cities
In New Delhi, the price stood at Rs 1,29,190, per 10 gm, and in Mumbai, it stood at Rs 1,29,410 on Monday. In Bengaluru, the rate stood at Rs 1,29,510, while in Kolkata, it was Rs 1,29,240 per 10 gm. The price of the precious commodity in Chennai was the highest at Rs 1,29,790 per 10 gm.
The Dec. 25 futures rose to Rs 1,24,195 according to the Multi-Commodity Exchange. The spot prices of the yellow metal was $4,042 on Monday, according to Bloomberg. For more information on silver prices in India, check out our dedicated page.
Investing in Gold and Silver
Investing in gold and silver can be a great way to diversify your portfolio and hedge against inflation. With the current economic uncertainty, many investors are turning to these precious metals as a safe-haven asset. To learn more about investing in gold, check out our guide on the best ways to invest in gold.
In conclusion, the prices of gold and silver in India are expected to remain volatile in the coming months, driven by a combination of global and local factors. As an investor, it’s essential to stay up-to-date with the latest news and trends to make informed decisions. For more information on stock market news and investing in India, visit our website.