Gold rates in India hover around ₹121,492 for 10 grams (24K), after recent volatility this October. The rates keep varying due to international and domestic clues. But the recent fall ahead of Diwali has raised the hopes of retail customers and investors for a crash.
Recent Gold Price Movements
Gold rates in India have been highly volatile in the month of October 2025. Having opened the month at around ₹116,651 per 10 grams, prices moved to a high of ₹123,377 losing to around ₹121,492 today. A small setback was seen recently with prices softening after a phase of steady gains. The volatility is a sign of shifting sentiment among global investors and domestic festive demand.
City-specific rates also show abrupt action; for example, in Noida, the 24K price is at ₹124,340 per 10 grams, with comparable action in other major metros. Festive season has yet again enhanced physical gold demand, sustaining prices post-profit-booking by jewellers.
Factors Influencing Gold Prices
A number of fundamental factors guide gold prices in India:
- Global market trends: International spot prices, influenced by the US dollar’s strength, interest rates, and geopolitical developments, play a major role.
- Inflation: As an inflation hedge, gold prices typically rise when consumer prices surge and the rupee weakens.
- Domestic demand: Festivals and wedding seasons drive up purchases, especially in October-November.
- Central bank policies: RBI’s gold reserves, import duties, and policy actions indirectly impact local prices.
- Industrial and supply demand: industrial and electronics, jewellery sectors’ constraints or spikes change availability and gold prices.
Expert Opinion and Outlook
Market professionals consider gold to be a strategic hedge, and they opine that even though prices recently fell on profit-taking and a firmer dollar, the overall trend is still pointed upwards due to worldwide uncertainty and strong domestic demand. They advise investors to be on the lookout for additional volatility from decisions by central banks, worldwide ETF inflows, and unexpected geopolitics shocks.
Analysts recommend that gold continues to be a critical part of investment portfolios for wealth protection but recommend staggered purchases as prices might still witness short-term corrections amidst high volatility. Most see continued support for gold in the near term around current levels, particularly during India’s peak festive season.
