Gold rate today: Yellow metal hits all-time high of Rs 96540, what's the reason behind it

Gold prices in India skyrocketed on Friday, hitting a historic high of Rs 96,450 per 10 grams in the national capital, according to the All India Sarafa Association. This steep surge of Rs 6,250 was mainly driven by strong demand from local jewellers and retailers.

Experts say the rising prices in global markets also played a major role. Increasing tensions between the US and China, especially after a new round of tariffs, have pushed investors worldwide towards gold, which is often seen as a safe investment in uncertain times.

On Wednesday, gold of 99.9% purity was priced at Rs 90,200 per 10 grams. On Friday, gold of 99.5% purity also surged, jumping by Rs 6,250 to Rs 96,000 per 10 grams, up from its previous close of Rs 89,750. This sharp increase came after four days of continuous decline in gold prices. Markets remained closed on Thursday due to Mahavir Jayanti.

Silver too followed the trend. It rose sharply by Rs 2,300 to Rs 95,500 per kilogram, up from Rs 93,200. The rise in silver prices also mirrored the strong trend seen in global markets.

In the futures market, gold for June delivery rose by Rs 1,703 to reach an all-time high of Rs 93,736 per 10 grams on the Multi Commodity Exchange (MCX).

Jateen Trivedi, VP and Research Analyst at LKP Securities, said gold prices on MCX continued breaking records despite the rupee gaining strength. The main reason, he said, is the growing tension between the US and China, especially after both countries introduced new tariffs on each other’s goods.

In global markets, spot gold touched a new high of USD 3,237.39 per ounce before dropping slightly. Comex gold futures also reached a record level of USD 3,249.16 per ounce.

Kaynat Chainwala from Kotak Securities noted that gold’s demand as a “safe haven” is increasing due to fears of a global slowdown, weakening of the US dollar, and growing geopolitical tensions.

Investment bank UBS added that issues like recession fears, stagflation, and central banks worldwide buying gold in large quantities over 1,000 metric tons annually for the last three years — suggest gold prices will continue to rise in the long run.

As the US finds itself in the middle of the trade war, investors are moving their focus away from the US dollar, making gold even more attractive.