Post by : Bianca
Haleem
Gold prices have recorded a remarkable rise for the second consecutive day, achieving an all-time high in the national capital on Tuesday, driven by international market trends, as reported by the All India Sarafa Association.
The price of gold with 99.9% purity climbed by ₹2,650 to reach a record level of ₹1,40,850 per 10 grams, compared to ₹1,38,200 per 10 grams during the previous session.
This latest surge has resulted in a total increase of ₹61,900 in 2025, reflecting a substantial rise of about 78.4% from ₹78,950 per 10 grams noted on December 31, 2024. The ongoing rally indicates a growing preference among investors for safe-haven assets amidst global uncertainties.
Silver has also exhibited strong performance, increasing by ₹2,750 for the second straight day to achieve an all-time high of ₹2,17,250 per kilogram, tax-inclusive. It had previously settled at ₹2,14,500 per kg after a significant rise of ₹10,400 on Monday.
On a year-to-date basis, silver has surged even further, with an increase of ₹1,27,550—approximately 142.2%—from the closing price of ₹89,700 per kilogram at the end of 2024.
Market analysts attribute the robust rally in bullion to expectations regarding more accommodating monetary policy in the U.S. and the escalating geopolitical tensions.
Analysts suggest that global investors are increasingly anticipating multiple interest rate cuts from the U.S. Federal Reserve in 2026. Lower interest rates generally diminish the opportunity cost of holding non-yield-bearing assets like gold and silver, enhancing their attractiveness.
In the global markets, the price of spot gold rose by USD 54.3, or 1.22%, to a record high of USD 4,498 per ounce on Tuesday. Year-to-date, spot gold has appreciated by USD 1,892.23, over 72.6%, from USD 2,605.77 per ounce at the close of the previous year.
Silver prices also crossed a significant benchmark worldwide, increasing by 1.4% to surpass USD 70 per ounce for the first time. In 2025, spot silver prices have zoomed by USD 41.03, or nearly 141.6%, from USD 28.97 per ounce.
Analysts highlighted that, beyond expectations of rate cuts, a weaker U.S. dollar and ongoing geopolitical strains are fueling the momentum in precious metal prices.
Moving forward, market participants are likely to focus on upcoming U.S. macroeconomic data, particularly the revised third-quarter GDP estimates, which may offer fresh insights into the U.S. economy's health and influence future Federal Reserve monetary policy.
Given the strong global indicators and persistent demand from investors, gold and silver prices are poised to remain robust in the near term.
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