Gold Prices Hit Rs 1 Lakh for First Time in India

Gold Prices Hit Rs 1 Lakh for First Time in India and it’s a moment that’s turning heads across the country. Whether you’re an investor, a jewellery lover, or someone curious about finance, this massive jump in gold prices is hard to ignore. So, what’s really driving this shiny surge? Let’s break it down in a simple and easy-to-understand way.

A Historic Moment for Gold

For the first time ever, gold prices in India have crossed the Rs 1 lakh mark for 10 grams. This incredible rise is not just a number; it’s a reflection of what’s happening globally — from political moves to economic uncertainty.

• As of April 22, 24-karat gold is priced at ₹10,135 per gram, or ₹1,01,350 for 10 grams, according to Goodreturns.
• This is a 100% rise in less than 3 years. In October 2022, gold was around $1,704 per ounce, and now it’s at $3,470.
• In the Mumbai bullion market, 24-karat gold (999 fineness) was quoted at ₹1,00,000 per 10 grams.
• 22-karat and 18-karat gold are priced at ₹91,600 and ₹81,000 per 10 grams respectively.

Why Are Gold Prices So High?

A lot of global and local reasons have come together to push gold prices this high:

1. Global Economic Uncertainty
   Investors across the world are looking for safe options. Gold has always been a safe haven during financial instability.
2. Trump’s Moves on Federal Reserve
   US President Donald Trump’s push to overhaul the US Federal Reserve has worried investors. His clash with Fed Chair Jerome Powell and comments on interest rates have created fear about inflation and market instability.
3. Weaker US Dollar
   The US Dollar has been falling, and when the dollar is weak, gold becomes cheaper for other countries to buy, which increases its demand.
4. Geopolitical Tensions
   Ongoing global conflicts like the Russia-Ukraine issue and tariff disputes with China are making investors nervous. That’s why they’re turning to gold.
5. Inflation and Central Bank Demand
   High inflation rates and massive buying by global central banks have also fueled the gold rally.

Gold Prices on the Rise – In Numbers

Here’s how gold prices have surged recently:

• According to the India Bullion and Jewellers Association (IBJA), the price jumped from ₹96,670 to ₹1,00,000 in just 24 hours.
• Spot gold reached $3,473.03 an ounce globally.
• On the MCX, gold futures for October reached an all-time high of ₹1,00,484 per 10 grams.
• US gold futures rose by 1.7% to $3,482.40 per ounce.

India’s Love for Gold

India is the second-largest consumer of gold in the world after China. According to a World Gold Council (WGC) report:

• Gold demand in India rose from 761 tonnes in 2023 to 802.8 tonnes in 2024.
• Total value of gold demand increased by 31%, touching ₹5.15 lakh crore.

In Indian households, gold is more than just jewellery. It’s a backup during emergencies. Many people pledge gold for loans during financial difficulties. Thanks to digital platforms and apps, gold loans are now easier to access, even in small towns.

Experts Speak

According to experts:

• Colin Shah, MD of Kama Jewellery, says the surge is due to fears around Trump’s aggressive policies.
• Jateen Trivedi, Analyst at LKP Securities, adds that growing central bank purchases and tariff tensions are pushing gold upwards.
• Tim Waterer of KCM Trade believes gold is benefiting as investors move away from the volatile US dollar and stocks.

This surge in gold prices is more than just market drama. It’s a global shift in how people are choosing to protect their wealth. As things remain uncertain around the world, gold is likely to continue shining brightly.

Whether you’re planning to invest or just following the trend, this is one historic moment you won’t want to forget.