Will Gold and Silver Prices Keep Rising Amid Global Uncertainty?
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Synopsis
Gold and silver prices reached new heights this week, driven by escalating global uncertainties and strong safe-haven demand. This article delves into the latest trends and factors influencing these precious metals.
Key Takeaways
- Gold and silver prices have reached record highs.
- Geopolitical tensions are driving safe-haven demand.
- 24-carat gold closed at Rs 1,09,707 per 10 grams
- Silver ended the week at Rs 1,28,008 per kilogram
- Analysts expect the trend to continue due to ongoing uncertainties
New Delhi, Sep 13 (NationPress) The prices of gold and silver surged sharply this week, reaching unprecedented heights as worries over US tariffs and escalating geopolitical tensions fueled a strong demand for safe-haven assets. Data from the Indian Bullion and Jewellers Association (IBJA) indicated that 24-carat gold concluded at Rs 1,09,707 per 10 grams on Friday, marking a significant increase of Rs 1,670 from Monday's rate of Rs 1,08,037. This rally has kept gold prices consistently above Rs 1 lakh throughout September, with an initial rate of Rs 1,04,075 on September 1.
Likewise, 22-carat gold prices also saw an upswing, finishing the week at Rs 1,00,492 per 10 grams, compared to Rs 98,962 at the week's start.
Silver followed gold's upward trend, closing the week at Rs 1,28,008 per kilogram, up Rs 3,595 from Monday’s Rs 1,24,413. Silver has maintained a strong position above the Rs 1.20 lakh mark this month, highlighting robust investor interest.
In futures trading, gold contracts due for October 3 settled at Rs 1,09,356 per 10 grams on Friday, reflecting a modest rise of 0.34 percent, indicating ongoing optimism in the bullion market.
Global factors have further bolstered this trend. On the international front, Comex gold was trading at $3,680.7 per ounce, gaining traction as traders sought safety in the precious metal amid ongoing economic and political uncertainties.
Experts believe the upward trend could persist in the near future, driven by continuous geopolitical risks, a dim global economic outlook, and unresolved tariff issues. For Indian investors, the rapid increase in gold and silver prices underscores the importance of bullion as a safe-haven during turbulent times.
“Gold remains in a positive trajectory with a gain of 0.35 percent at Rs 1,09,350 as Comex held firm at $3647, factoring in expectations of a Fed rate cut next week to bolster the US economy,” stated Jateen Trivedi from LKP Securities.
Despite being in overbought territory, gold retains a premium influenced by tariff uncertainties and the de-dollarisation trend. With US CPI and jobless claims on the radar this week, markets are anticipating a 0.50 percent rate cut along with a dovish stance. The gold outlook remains favorable within a range of Rs 1,07,000-Rs 1,12,000, he added.
Point of View
I observe that the current surge in gold and silver prices underscores the ongoing volatility in the global market. The persistent concerns over tariffs and geopolitical issues highlight the need for investors to consider bullion as a reliable asset in uncertain times.
NationPress
13/09/2025
Frequently Asked Questions
What factors are driving the rise in gold and silver prices?
The increase in gold and silver prices is primarily attributed to heightened geopolitical tensions, concerns over US tariffs, and strong safe-haven demand from investors.
How have gold prices changed recently?
Gold prices have seen a significant increase, with 24-carat gold reaching Rs 1,09,707 per 10 grams, marking a sharp rise from previous weeks.
Are silver prices also rising?
Yes, silver prices have mirrored gold's increase, closing the week at Rs 1,28,008 per kilogram.
What is the outlook for gold and silver prices?
Analysts suggest that the upward trend in gold and silver prices could continue, driven by ongoing geopolitical risks and a weak global economic outlook.
What should investors consider during this volatility?
Investors should consider the role of bullion as a safe-haven asset during times of uncertainty, as evidenced by current market trends.
