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Gold and silver surged to multi-month highs on Monday, lifting ETFs on the NSE as investors priced in expectations of a US Fed rate cut
Gold, Silver ETFs Surge
Gold and silver surged to multi-month highs on Monday, lifting exchange-traded funds (ETFs) on the NSE as investors priced in expectations of a US Federal Reserve rate cut and a weaker dollar. Analysts believe the rally could sustain in the near term, aided by global and domestic factors.
Bullion Near Record Levels
Spot gold climbed to $3,493.10 per ounce, inching close to its April record of $3,500.05, while December futures traded near $3,546.10. Silver broke past $40 for the first time since 2011, touching $40.84. In India, 24K gold futures on MCX hit ₹1,05,880 per 10 grams, while silver rose to ₹1.05 lakh per kg.
ETF Gains Across the Board
Gold ETFs advanced strongly, led by Nippon India Gold BeES (+1.49% to ₹86.61) and HDFC Gold ETF (+1.59% to ₹89.43). SBI Gold ETF and ICICI Prudential Gold ETF gained 1.67% and 1.77%, respectively. Other funds such as Kotak, Axis, Mirae, UTI, ABSL Life, Quant, and Invesco also logged steady gains.
| ETF Name | Price (Change%) | Vol | 1Y (%) | 3Y (%) | 5Y (%) | AUM (Rs Cr) |
|---|---|---|---|---|---|---|
| Nippon India Gold Bees | 86.61 (1.49%) | 37.75M | 40.34 | 23.86 | 13.24 | 22355.07 |
| HDFC Gold ETF | 89.43 (1.59%) | 6.45M | 40.16 | 23.99 | 13.41 | 10691.39 |
| SBI Gold ETF | 89.40 (1.67%) | 5.13M | 40.46 | 24.40 | 13.31 | 8810.86 |
| ICICI Prudential Gold ETF | 89.73 (1.77%) | 3.99M | 40.74 | 24.09 | 13.49 | 8134.79 |
| Axis Gold ETF | 87.62 (1.88%) | 3.05M | 40.63 | 24.60 | 13.48 | 1955.47 |
| DSP Gold ETF | 101.81 (2.01%) | 1.53M | 40.44 | NA | NA | 811.79 |
| Kotak Gold ETF | 87.47 (1.73%) | 1.47M | 40.53 | 24.01 | 13.44 | 7842.26 |
| Mirae Asset Gold ETF | 101.79 (1.76%) | NA | 40.53 | NA | NA | 825.39 |
| UTI Gold ETF | 87.90 (1.79%) | 705.76k | 40.59 | 24.15 | 13.27 | 2054.23 |
| ABSL Gold ETF | 92.29 (1.83%) | NA | 40.67 | 24.02 | 13.46 | 1170.31 |
| Quant Gold ETF | 86.64 (1.77%) | 271.91k | 40.47 | 24.45 | 13.26 | 349.74 |
| Invesco India Gold ETF | 9122.45 (2.54%) | 666 | 39.69 | 23.95 | 13.44 | 298.82 |
Silver ETFs outperformed, with HDFC Silver ETF soaring 4.58% to ₹119.14. ICICI Prudential, UTI, Kotak, DSP, Mirae, ABSL, and Tata Silver ETFs all rallied over 3.9%.
| ETF Name | Price (Change%) | Vol | 1Y (%) | 3Y (%) | AUM (Rs Cr) |
|---|---|---|---|---|---|
| Nippon India Silver ETF | 118.59 (4.41%) | 49.08M | 36.26 | 26.76 | 9098.86 |
| ICICI Prudential Silver ETF | 123.39 (4.40%) | 6.59M | 36.66 | 26.79 | 6762.09 |
| ABSL Silver ETF | 123.01 (3.99%) | 3.20M | 36.72 | 26.80 | 944.27 |
| HDFC Silver ETF | 119.14 (4.58%) | 2.77M | 36.44 | NA | 1160.81 |
| Tata Silver ETF | 12.05 (4.69%) | 10.67M | 36.78 | NA | 295.35 |
| UTI Silver ETF | 120.15 (4.42%) | 947.82k | 35.86 | NA | 315.82 |
| Kotak Silver ETF | 120.02 (4.47%) | 816.78k | 36.53 | NA | 1507.10 |
| DSP Silver ETF | 119.26 (4.42%) | 460.53k | 36.49 | 26.53 | 874.80 |
| Mirae Asset Silver ETF | 120.62 (4.41%) | 421.07k | 36.58 | NA | 145.08 |
Fed Policy, Industrial Demand in Focus
“Since last week, multiple factors have driven bullion higher. The biggest trigger is the expectation of Fed rate cuts at the September 17–18 meeting. Weak US jobs data and tariff-related inflation risks are also fuelling uncertainty, which supports gold,” said Maneesh Sharma, AVP – Commodities & Currencies, Anand Rathi Shares and Stock Brokers.
He added that silver is benefiting from robust industrial demand from EVs and solar, coupled with a five-year supply deficit. “ETF inflows in silver hit a three-year high in August, and with India’s festive and wedding season ahead, physical demand is expected to strengthen further.”
Global Flows Support Rally
According to the World Gold Council, global gold ETF holdings rose to 3,656.7 tonnes worth $392.6 billion as of August 22. Net inflows of 437.9 tonnes have been recorded this year, led by North America ($23.5 billion), followed by Europe ($8.6 billion) and Asia ($10.4 billion).
Silver ETFs, meanwhile, have climbed back near 800 million ounces — their highest since July 2022 — after steady inflows since February.
Outlook: Momentum to Continue
With one-year returns averaging around 40% for gold ETFs and 36–37% for silver ETFs, analysts see momentum persisting, supported by festival-season buying in India and global monetary easing expectations.
Aparna Deb is a Subeditor and writes for the business vertical of News18.com. She has a nose for news that matters. She is inquisitive and curious about things. Among other things, financial markets, economy, a…Read More
Aparna Deb is a Subeditor and writes for the business vertical of News18.com. She has a nose for news that matters. She is inquisitive and curious about things. Among other things, financial markets, economy, a… Read More
Read More
