Gold prices are skyrocketing ahead of Diwali, leaving many wondering whether it is the right time to invest. Why are rates soaring, and how high could they climb this festive season?
For the first time, global gold prices have crossed $3,840 an ounce. On MCX, gold has surged past Rs 1,17,800 per 10 grams — giving investors who once found it “too expensive” nearly 17% gains. (Representative Image)
Commodity analysts believe both gold and silver will remain volatile in the near term. Still, they suggest investors can consider buying gold above the Rs 1,16,000 level.
The recent rally in gold prices is sparking big shifts in the market. Investors are pulling money from stocks and parking it in gold, silver, and even crypto. This trend is visible globally, though in the US, stock gains are also keeping demand strong.
The big question: will gold cross Rs 1,25,000 per 10 grams by Diwali? With prices climbing steadily since August 20, that milestone looks possible. Gold has already risen by over Rs 18,000 in just two months.
On August 20, 24K gold was at Rs 1,00,150 per 10 grams. Today, it is at Rs 1,18,640 — a jump of nearly Rs 18,500 in 50 days. Similarly, 22K gold has climbed from Rs 91,800 to Rs 1,08,750 in the same period — an 18% surge.
Global instability, wars, and weakening currencies are driving investors towards safe havens like gold. Lower interest rate expectations and a weaker dollar are adding to the metal’s appeal.
From ETFs to bars and coins, investors and big institutions are buying up gold. Rising demand, coupled with limited supply, is pushing prices even higher. With inflation fears looming, gold is seen as the safest store of value.
What’s the best strategy for buying gold this Diwali? Experts suggest staggering investments instead of spending in one go. Splitting Rs 5 lakh into five parts, for instance, helps average out costs and reduce risks.
