Synopsis: Gold prices have shattered records, crossing Rs 1 lakh per 10 grams in the retail market. As global tensions rise, experts weigh in on whether it's time to invest or wait it out.
In an unprecedented move, gold prices in India have soared past the Rs 1 lakh mark per 10 grams in the retail market. On Monday, June futures on the Multi Commodity Exchange (MCX) hit a record-breaking Rs 99,178, while physical market prices climbed to Rs 97,200. After including 3% GST, the final price easily crossed the Rs 1 lakh threshold, sending shockwaves through the investment community and drawing attention from everyday buyers to seasoned market players.
Why Is Gold Becoming So Expensive?
Global economic uncertainties are largely to blame. Rising geopolitical tensions, particularly the looming threat of a US-China trade war and internal rifts like the disagreement between Donald Trump and the US Federal Reserve, are driving a rush toward safe-haven assets like gold.
As international gold prices surge, India — being a major importer — has seen a parallel jump, contributing to the sharp rise in domestic rates.
MCX and Retail Price Trends
The milestone of Rs 99,178 per 10 grams in futures is historic. With retail prices touching Rs 97,200 and GST added on top, gold has officially entered the six-digit price club. This jump reflects both international market momentum and local demand, especially in times of financial instability.
What Do Experts Say?
Despite the record highs, analysts advise caution. The gold market is bullish, but such high valuations could lead to short-term corrections.
Their suggestion? Buy in phases. Instead of making large lump-sum purchases, stagger your buying to average out the cost. This phased approach reduces the risk and allows for better financial planning.
A 26% Surge in 2025 Alone
Gold has appreciated by more than Rs 20,000 per 10 grams so far in 2025 — a 26% jump in just a few months. Institutional investors, central banks, and high-net-worth individuals have all contributed to this rally, signaling strong confidence in gold amid market volatility.
However, keep an eye on external factors like the dollar index and developments in the US-China relationship, as they can significantly affect prices going forward.
Housewives: The Silent Investment Gurus
In the midst of the gold rush, Indian housewives are being celebrated for their long-standing belief in gold. Uday Kotak, Founder of Kotak Mahindra Bank, tweeted that Indian housewives might be “the smartest fund managers in the world,” appreciating their decades-long commitment to gold as a store of value.
He further remarked that global financial institutions might have something to learn from India's cultural approach to wealth preservation.
Final Thoughts
Gold’s record-setting climb reflects deep-rooted economic uncertainty and the timeless trust investors place in the yellow metal. While the rally could continue, smart investing, careful timing, and awareness of global triggers are key to navigating this golden wave.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. Readers are encouraged to consult with a certified financial advisor before making investment decisions.
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