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Key Points

In a historic moment, gold prices have dramatically crossed the Rs 1 lakh per 10 grams threshold, marking a significant milestone in the commodities market. The surge is driven by complex global economic factors, including geopolitical tensions and central bank strategies. Experts like Colin Shah attribute the price rise to international economic uncertainties and shifting monetary policies. Investors are increasingly viewing gold as a safe-haven asset during volatile economic times.

Key Points: Gold Hits Rs 1 Lakh per 10g Historic Milestone

  • Gold reaches unprecedented Rs 1 lakh per 10 grams
  • Global economic uncertainty drives investment surge
  • Central banks increase gold reserves worldwide
  • US dollar weakness boosts gold attractiveness
2 min read

Gold touches Rs 1 lakh per 10 grams for 1st time

Gold prices surge to record Rs 1,00,000 per 10g amid global economic tensions and central bank gold reserve strategies

Gold touches Rs 1 lakh per 10 grams for 1st time
"The new all-time-high attained by the yellow metal is primarily influenced by rising tensions - Colin Shah, Kama Jewellery MD"

New Delhi, April 22

Gold prices reached a historic milestone on Tuesday as the rate of 24-carat gold touched Rs 1,00,000 per 10 grams for the first time ever.

According to the India Bullion and Jewellers Association (IBJA), the price of 24-carat gold rose sharply from Rs 96,670 to Rs 1,00,000 per 10 grams -- a jump of Rs 3,300 within 24 hours.

Along with 24-carat gold, other categories also saw a steep rise. The price of 22-carat gold climbed to Rs 97,600 per 10 grams, 20-carat gold reached Rs 89,000 per 10 grams, and 18-carat gold touched Rs 81,000 per 10 grams.

On the Multi Commodity Exchange (MCX), October futures briefly went above the Rs 1 lakh mark and touched an all-time high of Rs 1,00,484 per 10 grams -- gaining nearly Rs 2,000 or 2 per cent in a single day.

Experts say the sudden spike in gold prices is due to increased global demand for gold as a safe-haven investment.

“The new all-time-high attained by the yellow metal is primarily influenced by the rising tensions between President Trump and US Fed Chair Jerome Powell regarding the Fed rate cut,” said Colin Shah, MD, Kama Jewellery.

This demand has been driven by rising geopolitical tensions and ongoing global economic uncertainties. His recent comments and decisions, including imposing tariffs on Chinese goods and questioning the Fed’s policies, have added to market volatility.

The weakening US dollar and interest rate cuts by the Federal Reserve have made gold, a non-yielding asset, more attractive to investors.

Lower interest rates reduce the cost of holding gold, which leads to higher investments in the yellow metal.

Another major reason behind the price surge is central banks across the world, including India and China, increasing their gold reserves.

This strategy, known as ‘de-dollarisation,’ is aimed at reducing reliance on the US dollar and preparing for economic uncertainties by investing more in gold.

“While the gold price is on an upward trajectory, the fall in dollar will make gold affordable in other currencies, keeping the demand-price dynamics balanced,” Shah stated.

He added that domestically, it is observed that gold price witnesses a slight rise around festive season like Akshaya Tritiya, in reflection to the spike in demand.

With these global factors at play, analysts believe that gold prices may remain high in the near future.

- IANS

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Reader Comments

P
Priya K.
Wow! ₹1 lakh for 10 grams is insane! 😱 My wedding jewelry shopping just got postponed indefinitely. Maybe I should've listened to my mom when she said to buy gold years ago...
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Rahul S.
Interesting analysis about de-dollarization. Makes me wonder if we're seeing the beginning of a major shift in global economics. Might be time to diversify investments beyond just stocks.
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Anita M.
The article could have included more about how this affects small jewelers and local goldsmiths. Many family businesses must be struggling with these price fluctuations.
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Vikram P.
Gold at 1L while my salary stays the same 🥲 Guess I'll be gifting silver this wedding season! Jokes aside, this is a worrying economic indicator.
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Sunil T.
Smart move by central banks to increase gold reserves. With all the global uncertainty, physical assets will always hold value better than paper currencies.
M
Meena R.
My gold investments from 5 years ago are looking brilliant now! 💛 But seriously, this makes me concerned about inflation and what it means for regular household budgets.

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