Mumbai
There is a tremendous rise in the prices of precious metals. For the first time, the price of silver has crossed Rs 1 lakh per kg, while gold has reached 91 thousand rupees per 10 grams. Experts believe that gold and silver prices are increasing rapidly due to international tension and US market situation.
Inflation of 25 thousand in gold and 26 thousand in silver
Between March 2024 to March 2025, there has been a huge jump in gold and silver prices. A year ago, in March 2024, fine gold was 66 thousand rupees per 10 grams, which has now increased to 91 thousand rupees. Similarly, the price of fine silver has increased from 75 thousand rupees to 1 lakh 1 thousand rupees.
Price of gold jewelry – In March 2024, it was 59 thousand rupees, which has now increased to 84 thousand rupees per 10 grams.
Silver jewelry price Last year, it was Rs 700 per 10 grams, which has now been Rs 950.
Gold 12 thousand and silver 9 thousand expensive in 60 days
Since the beginning of 2025, the bullion market has seen tremendous boom. Gold has become expensive by Rs 12 thousand per 10 grams and silver 9 thousand rupees per kg in just 60 days between January 15 and March 15.
15 January 2025 – Gold 79 thousand rupees, silver 92 thousand rupees
February 2025 – Gold 87 thousand rupees, silver 98 thousand rupees
15 March 2025 – Gold 91 thousand rupees, silver 1 lakh 1 thousand rupees
Market stir, experts’ opinion
Due to rising prices, there has been a stir in the bullion market. According to traders, when the prices of gold and silver increase, it also affects shopping. Abhishek Jain of Mahavir Jewelers at Ratlam said that prices have risen due to America’s economic policies and there is no possibility of a decline in the near future. According to Bantu Jewelers ‘Chirag Bantu Gauri, since January 2025, gold has become expensive by 12 thousand and silver 9 thousand rupees, which can affect customers’ purchase.
Most of the experts are currently very bullish about gold. He believes that in view of the possibility of a trade war at the global level, the condition of uncertainty that has been created, the demand for gold as a safe-han (safe-han) may remain intact.
The softening of US dollars is also raising gold prices. Currently, US Dollar Index is on its 4 -month -old low. So far this year, the US dollar index has weakened nearly 5 per cent. During this period, the 10 -year -old American bond yield also declined by about 26 basis points. When the US dollar is weak, gold becomes cheaper for buyers who want to buy it in another currency. This may increase the demand for gold and increase prices. At the same time, the decline in US bond yield reduces the Opportunity Cost for investors.
After the fresh military strike made by Israel at Hamas’s hideouts in Gaza, Jio Political Tension in the Middle East has increased once again, due to which the demand for gold is also seeing a boom as a safe option. Apart from this, investment demand and shopping of central banks are also supportive for prices.
According to the latest data from the World Gold Council, the investment demand was seen in the third consecutive month during February.
Investments in Gold ETF at global level rose $ 9.4 billion during February. This is the biggest monthly increase in investment demand after March 2022. Investment increased by 99.9 tonnes during this period of volume /holding. Gold ETF’s asset under management i.e. AUM increased to record 306 billion by the end of February 2025 due to the rise in gold prices and the third consecutive month inflow. Total holding was also recorded at 3,353 tonnes by the end of last month, the highest since July 2023. Both Asset Under Management and Total Holding increased by 4.1 percent and 3.1 percent compared to January.
On the other hand, according to China’s central bank People’s Bank of China (PBOC), 5 tonnes of gold was purchased in February. After a six -month break, People’s Bank of China bought gold for the fourth consecutive month. By the end of February, China’s Gold Reserve rose to 2,290 tonnes, which is 5.9 per cent of its total forex reserve.
If the policies of Trump increase and increase in trade between China and America, then the central bank of China may accelerate the purchase of gold. The scope for this is also more because gold is still below 6 per cent in China’s total foreign exchange reserves. Whereas gold stake in India’s total foreign exchange reserves has increased to above 11 per cent. Experts believe that China would want to increase the share of Gold by at least 10 per cent in view of the changing geo-political Scenario.
Currently, the market is eyeing the US Federal Reserve on a two -day meeting starting today. Although there is no scope for rate cuts, everyone is eagerly waiting for the post meeting commentary. US Fed Chairman Jerome Powell will announce the interest rates after the meeting on March 19 (Indian time on 20 March 12.30 pm).
Domestic Futures Market
The gold benchmark on domestic futures market MCX (MCX) is currently at Rs 88,431 per 10 grams with a strength of Rs 408 (1:30 PM IST) (Rs 1:30 PM IST), or 0.46 per cent to Rs 88,431 per 10 grams. Earlier, it opened at Rs 251 to Rs 88,274 at a price of Rs 88,274 today and traded between a record high of Rs 88,513 and a low of Rs 88,257 during the business.
