Gold Hits ₹5,900 Surge in Seven Days, Marks Historic High With 34% Yearly Gain

Business News: Due to the huge increase in US tariffs and the fall in the rupee against the US dollar, gold prices are continuously rising. Investors are constantly looking for safe havens. Due to which gold prices have seen a rise for the 7th consecutive day. The special thing is that in these 7 days, gold prices have seen an increase of Rs 5,900. The surprising thing is that in the current year, the price of gold is witnessing an increase of more than 34 percent. Due to which the price of gold has increased to more than Rs 1.06 lakh and has reached a new record level. On the other hand, there has been a slight increase in the prices of silver.

Gold Silver Prices Rise Globally

On the other hand, the price of gold is also increasing in the country's futures market and foreign markets. The special thing is that the price of silver is also increasing at the same rate. Gold prices are expected to reach Rs 1.08 to 1.12 lakh by Diwali. On the other hand, the increasing conflict between the Fed and the Trump Administration and the expectation of imposing 200 percent tariff in the pharma sector have also boosted the price of gold. Let us also tell you how much the prices of gold and silver have become in the country's capital Delhi and foreign markets and futures markets.

Gold and silver again made a record in Delhi

According to the All India Sarafa Association, the price of gold in the country's capital Delhi remained strong for the seventh consecutive trading session on Tuesday and rose by Rs 400 to a new highest level of Rs 1,06,070 per 10 grams. Gold with 99.9 percent purity closed at Rs 1,05,670 per 10 grams on Monday. The price of gold with 99.5 percent purity also rose by Rs 400 on Tuesday to a new record of Rs 1,05,200 per 10 grams (including all taxes).

In the last market session, it closed at Rs 1,04,800 per 10 grams. Meanwhile, silver prices rose by Rs 100 to another record level of Rs 1,26,100 per kg (including all taxes) on Tuesday. According to the Sarafa Association, the white metal closed at Rs 1,26,000 per kg on Monday.

How much did gold become expensive in 7 days

For the last 7 days, there has been a steady increase in the prices of gold and silver in the country's capital Delhi. In the last seven sessions, the price of this yellow metal has increased by Rs 5,900 per 10 grams. Gold prices have increased by 34.35 percent in the current calendar year, which was Rs 78,950 per 10 grams on December 31, 2024. In the last three sessions, the prices of the white metal have risen by Rs 7,100 per kg. So far this year, silver has outperformed gold. This white metal has jumped 40.58 percent from the level of Rs 89,700 per kg at the end of December 2024.

Gold and silver in foreign markets

If we talk about foreign markets, in the international market, spot gold prices in New York fell from their all-time high to $3,477.41 an ounce. During intraday, the yellow metal reached a record high of $3,508.54 an ounce. The special thing is that there is an increase of about $31 in the prices of gold futures. After which the price has come down to $3,546.70 an ounce. On the other hand, spot silver fell 1.08 percent to $40.29 an ounce.

Silver Prices Cross $40 Mark

While silver futures are seeing an increase of about one and a half percent and the price has come down to $ 41.33 per ounce. Analysts attributed the sharp profit booking by short-term investors to the sharp fall in spot silver prices. However, silver prices have crossed $ 40 per ounce for the first time since 2011. On Monday, spot prices had reached $ 41.24 per ounce. Then it closed around $ 39.71 per ounce.

Why did gold and silver rise?

Renisha Chainani, head of research at Augmont, said gold prices hit a record high on Tuesday after a US appeals court last week upheld a decision that the White House's so-called reciprocal tariffs were illegal. The court said the tariffs could remain in place until mid-October, however, President Donald Trump criticized the decision and said he would challenge the decision in the Supreme Court.

According to commodity market experts, the development has increased uncertainty over the economic impact of US tariffs, most of which came into effect in August. Any decision against the tariffs would also force Washington to renegotiate recent agreements with major trading partners.

Traders said the falling value of the rupee and rising geopolitical tensions have made bullion more attractive as a safe investment. On Tuesday, the rupee fell 8 paise to a lifetime low of 88.18 against the US dollar, as uncertainty over the India-US trade deal and weak domestic stock markets pressured the local unit.

Why will gold become stronger?

Deveya Gaglani, Senior Research Analyst (Commodities), Axis Securities, said spot gold prices hit a record high of $3,508 an ounce amid concerns over the autonomy of the US Federal Reserve, rising expectations of interest rate cuts and tariff uncertainty, boosting safe-haven demand.

Geopolitics Boosts Bullion Prices

Chintan Mehta, CEO of Abans Financial Services, said that geopolitics also remains at the center, with signs of strengthening ties between India, Russia and China, which may have an impact on US influence and the dollar, which may boost bullion prices. Mehta further said that investors are now waiting for upcoming US macroeconomic data including employment opportunities, ADP employment and non-farm payrolls for new signals from the Federal Reserve's monetary policy.