Gold Soars to Record High of Rs 1.28 Lakh, Silver Follows Suit
Gold prices surged to unprecedented levels on Thursday, hitting Rs 1,28,395 per 10 grams in domestic futures trading as global prices crossed USD 4,250 per ounce. The rally marks the fifth consecutive session of gains, driven by expectations of US Federal Reserve rate cuts and ongoing geopolitical tensions.
Key Takeaways
- Gold futures surged Rs 1,185 to record Rs 1,28,395 per 10 grams
- Silver prices hit Rs 1,64,660 per kg, marking fourth straight session of gains
- Global gold prices reached USD 4,254.80 per ounce
- Dollar index fell 0.17% to 98.63, boosting bullion appeal
Domestic Market Performance
On the Multi Commodity Exchange (MCX), December gold futures climbed 0.93% to reach Rs 1,28,395 per 10 grams. The February 2026 contract also rose sharply by Rs 977 (0.76%) to touch Rs 1,29,380 per 10 grams.
Silver followed the trend, with December delivery appreciating by 1.51% to hit Rs 1,64,660 per kilogram. The March 2026 contract extended its winning streak with a 1.6% rise to Rs 1,64,958 per kg.
Expert Analysis
“Gold prices remain elevated at record levels, driven by expectations of more interest rate cuts from the US Federal Reserve and ongoing tensions between Washington and Beijing,” said Darshan Desai, CEO of Aspect Bullion & Refinery.
He added that the futures market anticipates larger rate cuts, possibly this month or in December, which could further boost gold prices. “Gold is also likely to remain a safe-haven asset, supported by concerns over rising debt levels, a weakening US dollar, and continued buying by central banks,” Desai noted.
Global Market Trends
In international markets, Comex gold futures climbed to USD 4,254.80 per ounce. “Gold prices rose above USD 4,250 per ounce on Thursday, continuing its rally to a new record, driven by safe-haven demand and growing expectations of a dovish US monetary policy,” explained Jigar Trivedi, Senior Research Analyst at Reliance Securities.
Trivedi highlighted that Fed Chair Jerome Powell’s recent remarks about a weakening labour market prompted investors to nearly fully price in a 25 basis points rate cut this month, with another likely in December.
Silver futures in global markets also hit lifetime highs, with December delivery reaching USD 52.86 per ounce.
Geopolitical Factors
The rally comes amid escalating trade tensions. US officials recently criticized China’s restrictions on rare earth exports, warning of global supply chain risks. Meanwhile, US Treasury Secretary Scott Bessent indicated potential export limits or tariffs on China’s imports of Russian oil if coordinated with European partners.
Analysts conclude that both gold and silver are experiencing a record-setting spree driven by robust investor inflows. Any confirmation of Fed rate cuts could push bullion prices to fresh records in the coming weeks.
