Gold prices in the national capital soared to an all-time high on Monday, touching ₹1,30,300 per 10 grams, marking a sharp rise of ₹9,700 from the previous session. The surge was driven by strong global safe-haven demand and the depreciation of the Indian rupee against the US dollar.
According to the All India Sarafa Association, 99.9% pure gold had closed at ₹1,20,600 per 10 grams on Friday. In contrast, 99.5% pure gold rose by ₹2,700 on Monday to settle at ₹1,22,700 per 10 grams (inclusive of taxes), compared to ₹1,20,000 in the previous trading session.
So far this year, gold has witnessed a massive rally of over 65%, climbing ₹51,350 from its price of ₹78,950 per 10 grams on December 31, 2024.
Why Gold and Silver Are Surging
Experts attribute the rally to heightened safe-haven buying, amid escalating concerns over the ongoing US government shutdown and a weaker rupee.
“Gold has touched fresh record highs as investors continue to bet on bullion despite the elevated prices. Market fundamentals remain strong, with sustained bullish momentum,” said Saumil Gandhi, Senior Analyst – Commodities, HDFC Securities.
In international markets, spot gold jumped nearly 2% to $3,949.58 per ounce, while silver climbed over 1% to $48.75 per ounce.
Kaynat Chainwala, AVP – Commodity Research at Kotak Securities, noted, “Spot gold extended its gains above $3,940 per ounce for the first time as the US government shutdown entered its sixth day, amplifying global uncertainty.”
Silver Follows Gold’s Rally
Silver too surged sharply, gaining ₹7,400 to hit a record ₹1,57,400 per kilogram (including all taxes), up from ₹1,50,000 on Friday. Since December 2024, silver prices have jumped by ₹67,700, representing a 75% increase.
Domestic Futures Hit New Peaks
In futures trading, both gold and silver registered new highs.
- Gold (December 2025 delivery) rose ₹1,962 (1.66%) to hit ₹1,20,075 per 10 grams on the Multi Commodity Exchange (MCX).
- The February 2026 contract climbed ₹2,047 (1.71%) to reach ₹1,21,380 per 10 grams.
- Silver (December delivery) advanced ₹2,233 (1.53%) to ₹1,47,977 per kg, while the March 2026 contract increased ₹2,337 (1.59%) to ₹1,49,605 per kg.
“Festive season demand, combined with global momentum and a weak rupee, continues to lift domestic gold prices,” said Jateen Trivedi, VP – Research Analyst, LKP Securities.
Global and Economic Factors
The ongoing US government shutdown has delayed critical economic data, including the September jobs report, adding to uncertainty in global markets.
“The lack of clarity on US economic health and labour data is pushing investors towards safer assets like gold,” explained Chintan Mehta, CEO of Abans Financial Services.
Renisha Chainani, Head of Research at Augmont, remarked that 2025 has been a year of persistent uncertainties — from geopolitical and trade tensions to interest rate and policy concerns. “All these factors have fueled a phenomenal rise in gold and silver prices,” she said.
She added that central bank purchases, a weaker dollar, ETF inflows, and retail investor participation have further strengthened the demand for precious metals.
Looking ahead, analysts expect continued volatility, with markets closely watching the Federal Open Market Committee (FOMC) meeting minutes and Federal Reserve Chair Jerome Powell’s speech later this week for policy cues.