In an unprecedented surge, physical gold prices in India crossed the ₹1 lakh mark per 10 gramson Monday, April 21, as global market volatility and geopolitical tensions drove investors towards the yellow metal’s safe-haven appeal.
Gold futures for June delivery on the Multi Commodity Exchange (MCX) soared to ₹97,200 per 10 gm by 6:45 pm—up ₹1,946 or 2.04% from the previous session on Thursday. When combined with the 3% Goods and Services Tax (GST), the effective physical gold price breached ₹1,00,100, making it the highest recorded price in the country’s history.
Gold prices have witnessed an astonishing 26% rise in 2025 so far, translating to an increase of over ₹20,800 per 10 gmsince the beginning of the year.
In Delhi, gold of 99.9% purity jumped ₹1,650 to ₹99,800 per 10 gm on Monday, up from Friday’s closing of ₹98,150, according to the All India Sarafa Association. Domestic bullion markets remained closed on Friday, April 18, for Good Friday.
In international markets, spot gold touched an all-time high of $3,397.18 per ounce before settling at $3,393.49, while gold futures breached the $3,400 mark for the first time, gaining over $80 per ounce or 2.4% in a single session.
Silver prices also followed suit, with domestic rates rising by ₹500 to ₹98,500 per kg, and global spot silver gaining 1% to $32.85 per ounce during Asian trading hours.
Bullion Boom Driven by Global Factors
The current rally in gold is being fueled by a combination of escalating tensions between the US and China, a weaker US dollar, and rising inflation concerns. The dollar hit a three-year low on Monday, further boosting gold’s appeal as a hedge against currency depreciation and market instability.
With the US imposing tariffs up to 245% on Chinese goods and Beijing responding with retaliatory measures, fears of a prolonged trade war have spooked investors, who are now turning to gold as a safer bet. Additionally, fears of stagflation and potential recession are compounding investor anxiety.
The upcoming festive season in India, which traditionally sees a spike in gold purchases, coupled with increased investment in gold ETFs, is further supporting the metal’s domestic price surge.
Eyes on Global Policy Moves
Commodity analysts suggest that markets will closely watch the US Federal Reserve’s next moves, particularly any commentary from the Federal Open Market Committee (FOMC) that could hint at interest rate cuts. Analysts also suggest keeping an eye on how President Donald Trump’s tariff strategy evolves in the coming weeks.
“Should uncertainty persist in the global economy, we may see gold prices surge even higher,” said a market expert, indicating that the rally may be far from over.