Gold Prices Surge to ₹1 Lakh per 10 Grams Ahead of Akshaya Tritiya Amid Global Economic Uncertainty

Gold prices have reached an unprecedented ₹1 lakh per 10 grams in India, marking a significant milestone ahead of the auspicious occasion of Akshaya Tritiya. This surge is attributed to a combination of domestic and global economic factors.​

Global Economic Factors Influencing Gold Prices

Internationally, gold prices have been on an upward trajectory, with spot gold trading at $3,482.26 per ounce, touching a record high of $3,494.66 earlier in the session. U.S. gold futures have also firmed 2% to $3,492.60. Analysts attribute this rise to concerns over potential actions by President Donald Trump to dismiss Federal Reserve Chair Jerome Powell, leading investors to withdraw from U.S. stocks, bonds, and the dollar. Tim Waterer, Chief Market Analyst at KCM Trade, noted that investors have been avoiding U.S. assets amid tariff worries and the Trump-Powell situation, which has kept gold in a prime position to capitalize on the dollar’s woes.​

Impact on Indian Gold Market

In India, the surge in global gold prices has translated into record domestic rates. The price of 10 grams of gold has now crossed ₹1 lakh, sending shockwaves through the Indian middle class. Indian housewives, renowned for their gold savings, are particularly affected, as the rising prices make it more challenging to invest in the precious metal ahead of Akshaya Tritiya.​

Historical Context and Future Outlook

Historically, gold prices in India have seen significant increases during Akshaya Tritiya. For instance, in 2012, the price of 10 grams of gold was ₹29,030, and by 2023, it had risen to ₹60,800, reflecting a substantial appreciation over the years. Looking ahead, experts suggest that factors such as a weaker Indian rupee, increased physical demand, and global economic uncertainties could continue to drive gold prices higher. Some forecasts indicate that gold prices could reach ₹85,000 per 10 grams in the near future, depending on these influencing factors.​

Conclusion

The record-breaking rise in gold prices ahead of Akshaya Tritiya underscores the complex interplay of domestic and international economic factors. While the surge presents challenges for traditional gold investors in India, it also highlights gold’s enduring appeal as a safe-haven asset in times of economic uncertainty.