Why Gold Prices Are Continuously Rising: With the wedding season around the corner, gold and silver prices have touched the sky once again. Over the past few days, gold has witnessed a record surge. On Monday evening, for the first time, 24 Carat Gold crossed ₹1 lakh per 10 grams in the physical market.
The last traded price stood at ₹97,200 per 10 grams, and with 3% GST included, the total price reached ₹1,00,116.
Let’s take a look at the latest gold rates in your city and also understand why gold prices are continuously rising.
Today’s Gold Price in Major Cities (per 10 grams)
- Mumbai – ₹97,380
- Chennai – ₹94,750
- Kolkata – ₹94,350
- Hyderabad – ₹97,540
- Bengaluru – ₹94,460
- New Delhi – ₹94,260
Why Are Gold Prices Rising Continuously?
- Global Economic Uncertainty
Major economies like the US, China, Germany, and Japan are slowing down, raising fears of a global recession. Investors are shifting towards gold as a safe-haven investment. - Weakening US Dollar
Gold is priced in US dollars. Whenever the dollar index falls, gold becomes cheaper for countries with stronger currencies, leading to higher demand. - Trade Wars and Geopolitical Tensions
The ongoing US-China trade war and policy uncertainties related to interest rates in the US are further fueling demand for gold. - Central Bank Purchases
In the last three years, central banks across the world have purchased over 1,000 tonnes of gold to strengthen reserves and prepare for potential economic crises. - Safe-Haven Investment
Gold ETFs and physical gold are attracting huge investments. According to UBS reports, gold ETF investments could touch 450 metric tonnes in 2025 as both institutional and retail investors look for safer alternatives.
Which Countries Have the Highest Demand for Gold?
As per Tata AMC reports, countries like China, India, and Turkey are witnessing the highest gold demand. These emerging markets still hold lower reserves compared to developed economies like the US, Germany, and France. Hence, in times of global uncertainty, gold buying accelerates in these countries.
| Gold Price in Your City | View |
Conclusion
The surge in gold prices is mainly driven by global recession fears, weak dollar, trade tensions, and large central bank purchases. In India, the wedding season and strong consumer demand are further pushing prices upward.
For investors, gold continues to remain a Safe Haven Asset, but it’s always advisable to consult a financial advisor before making large investments.