Why Did Gold Rise by Rs 4,000 This Week, and Silver Exceed Rs 1.23 Lakh per Kg?
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Synopsis
In a week marked by global uncertainty, gold prices jumped significantly, while silver also experienced a substantial increase. Investors are turning to these precious metals as safe-haven assets amidst rising tariffs and limited supply. What does this mean for future investments?
Key Takeaways
- Gold prices have increased by Rs 4,000 this week.
- Silver has crossed Rs 1.23 lakh per kilogram.
- The surge is attributed to global uncertainty and tariffs.
- Investors are moving towards safe-haven assets.
- Positive outlook for gold prices if they stay above Rs 1,06,450.
New Delhi, Sep 7 (NationPress) The prices of gold and silver experienced a significant increase this week, with gold priced at Rs 1.06 lakh per 10 grams and silver surpassing Rs 1.23 lakh per kilogram.
As reported by the India Bullion and Jewellers Association (IBJA), the rate for 24-carat gold is now Rs 1,06,338 per 10 grams, up from Rs 1,02,388 just a week ago, marking a rise of Rs 3,950.
In the same timeframe, 22-carat gold rose from Rs 93,787 to Rs 97,406, while 18-carat gold saw an increase from Rs 76,791 to Rs 79,754 per 10 grams.
Silver also saw a robust increase, with its price climbing by Rs 5,598 to Rs 1,23,170 per kilogram, up from Rs 1,17,572.
This notable surge in precious metal prices is largely due to global uncertainties.
The decision made by US President Donald Trump to impose tariffs on various countries has escalated global volatility, leading investors to seek refuge in safe-haven assets like gold and silver.
A combination of limited supply and rising demand has further fueled this upward trend.
Jatin Trivedi from LKP Commodities mentioned that gold is currently trading at Rs 1,06,700 on MCX and $3,550 on Comex.
He also pointed out that investors are closely watching the upcoming US Federal Reserve meeting in September, where a rate cut is anticipated. The tariffs are also contributing to this increased demand.
Trivedi expects a positive outlook for gold; if prices remain above Rs 1,06,450, they might test a new resistance level of Rs 1,07,260.
Since the beginning of the year, the price of 24-carat gold has surged from Rs 76,162 per 10 grams to Rs 1,06,338, reflecting a remarkable gain of Rs 30,176 or 39.62%.
Similarly, silver has increased from Rs 86,017 per kilogram to Rs 1,23,170, an impressive rise of Rs 37,153 or 43.19%.
Point of View
It is crucial to recognize the complex dynamics affecting precious metal prices. The ongoing global uncertainties and economic policies demand a cautious approach from investors, emphasizing the importance of staying informed and adaptable in such volatile markets.
NationPress
07/09/2025
Frequently Asked Questions
What caused the recent surge in gold prices?
The surge in gold prices has been driven by global uncertainties, including increased tariffs imposed by the US, which has prompted investors to seek safe-haven assets.
How much has silver increased in price recently?
Silver has increased by Rs 5,598 this week, reaching Rs 1,23,170 per kilogram.
What is the current price of 24-carat gold?
The current price of 24-carat gold stands at Rs 1,06,338 per 10 grams.
What is the outlook for gold prices?
The outlook for gold remains positive, with expectations to test higher resistance levels if prices sustain above Rs 1,06,450.
How have precious metal prices changed since the start of the year?
Since January 1, 2023, 24-carat gold has risen by Rs 30,176, a gain of 39.62%, while silver has increased by Rs 37,153, or 43.19%.
