The prices of gold and silver in India are expected to rise during the Dhanteras and Diwali festivals, defying the usual post-Navratri decline, according to representatives from the jewellery market. As of the recent weekend, gold was priced at ₹1,50,700 per 10 grams, and silver was at ₹2,18,000 per kilogram. These prices have seen significant fluctuations over the year, with both metals experiencing a sharp rally in March followed by declines.
Earlier in the year, gold was valued at ₹1,37,120 per 10 grams and surged to ₹1,67,275 in March. Similarly, silver saw an increase from ₹2,38,000 per kilogram in January to ₹2,95,000 in March. Market experts suggest that the volatility in bullion prices is largely influenced by global economic uncertainty, geopolitical tensions, and the continued purchasing activity by central banks. Additionally, concerns over inflation, economic slowdown, and instability in financial markets have prompted investors to view gold as a safe-haven asset.
Traditionally, gold and silver prices peak around Navratri and tend to dip during Dhanteras. However, jewellers indicate that strong festive demand, coupled with developments in the international markets, might sustain or even elevate prices through Diwali this year. The anticipation of sustained demand is based on the prevailing economic conditions and consumer behavior during the festive season.
Despite these predictions, the prices of these precious metals remain sensitive to global market dynamics, currency fluctuations, and changes in investor demand. Potential buyers are advised to monitor market trends closely to make informed purchasing decisions. While the festive season typically influences bullion prices, external factors continue to play a crucial role in determining their trajectory.