Gold prices in India have reached unprecedented levels, with the price of 10-gram gold surpassing ₹1 lakh for the first time. On Monday evening, the price crossed the ₹1 lakh threshold and has since increased by ₹2,000, reaching ₹1,02,000 by 1 PM. Internationally, the price of gold per ounce (31.10 grams) is currently valued at $3,467.
The price hike is also evident in the Multi Commodity Exchange (MCX), where gold prices are nearing ₹1 lakh per 10 grams. In the fourth consecutive trading session, the price of gold has continued to rise. The June delivery contract price increased by ₹1,899 to ₹99,178 before slightly dipping to ₹98,880. The August contract price stands at ₹99,800, while the October contract price has surged by ₹2,000, surpassing ₹1 lakh per 10 grams.
Impact on Akshaya Tritiya
Traditionally, Akshaya Tritiya sees a spike in gold purchases, but with gold prices at record highs, many potential buyers are refraining from making purchases. Concerns have been raised by gold traders about a potential decline in sales. Analysts are hopeful that gold prices may slightly decrease by April 30, the day of Akshaya Tritiya. However, if prices remain at current levels, it may affect sales during the festival, experts suggest.
Reasons for the Price Surge
The recent increase in gold prices is attributed to ongoing trade negotiations between the U.S. and other countries, along with continued tensions between the U.S. and China. Additionally, growing concerns about the U.S. economy and its national debt have been fueled by disagreements between Federal Reserve Chairman Jerome Powell and former President Donald Trump regarding interest rate cuts. Analysts also point to the large-scale gold purchases by central banks worldwide, including in China, as a contributing factor to the rise in gold prices.