Gold Prices Hit Record High Globally Amid Economic Uncertainty and Strong Demand
Gold prices have soared to historic highs across the globe, breaching significant psychological barriers in several markets, including India, where the price of 24-carat gold has crossed ₹1 lakh (approximately $1,200) per 10 grams for the first time. According to goodreturns.com, the price in Delhi has touched ₹10,150 per gram, reflecting a global trend driven by mounting economic uncertainties and a surge in investor demand for safe-haven assets.
Across international markets, gold is trading near all-time highs, with prices hovering around $2,400 per ounce. Several factors are fueling the rally, including concerns over inflation, ongoing geopolitical tensions, volatile stock markets, and central banks’ dovish monetary policies.
The rising demand is not limited to retail investors. Central banks around the world, particularly in emerging economies, have continued their gold accumulation to diversify reserves. In addition, the anticipation of potential interest rate cuts by major central banks, such as the U.S. Federal Reserve, has further boosted gold’s appeal.
The combination of strong physical demand—especially from countries like China and India—and macroeconomic uncertainty has created a bullish outlook for the precious metal. Analysts suggest that if current trends persist, gold may see further upside in the months ahead.
The recent rally in gold prices has been largely attributed to escalating trade tensions between the United States and China, as well as President Donald Trump’s renewed criticisms of the US Federal Reserve. Analysts note that Trump’s demands for immediate rate cuts have added pressure to an already weakened US dollar, enhancing gold’s appeal as a safe-haven asset. Spot gold reached a record high of $3,473.03 per ounce, further fuelling the bullish trend.
Gold : Looking Ahead
With gold prices on an upward trajectory, investors and analysts alike are keeping a close eye on global economic signals—especially any policy cues from the U.S. Federal Reserve. In such a dynamic and uncertain market, gold continues to stand out as a preferred safe-haven asset. However, experts stress the importance of prudent risk management, as price volatility remains a key concern for traders navigating these turbulent times.
Amid the excitement of gold breaching the ₹1 lakh mark, Kotak Mahindra Bank founder Uday Kotak praised Indian homemakers, calling them the “smartest fund managers in the world.” His comment struck a chord ahead of Akshaya Tritiya, an auspicious occasion traditionally associated with gold purchases. Despite soaring prices, festive sentiment remains strong, underscoring the deep-rooted cultural and financial trust in gold among Indian households.
In a post on X (formerly Twitter), Uday Kotak, Founder of Kotak Mahindra Bank, lauded the investment instincts of Indian homemakers, stating, “The performance of gold over time highlights that the Indian housewife is the smartest fund manager in the world.
The rally comes amid heightened global uncertainty, thanks to renewed tensions between President Donald Trump and the US Federal Reserve over rate cuts, and an intensifying trade war between the US and China.
The dollar index has slipped to multi-year lows, boosting the appeal of gold as a safe-haven asset. COMEX gold was trading close to $3,500 per troy ounce on Tuesday, continuing its sharp upward momentum.
