India gold price saw an upward movement on Monday, as per the latest figures from the Multi Commodity Exchange (MCX). The value of gold reached INR 71,922 for 10 grams, showing a gain of INR 254 from the previous price of INR 71,668.
In futures trading, the price for 10 grams of gold climbed to INR 71,596, up from INR 71,256. Alongside gold, silver futures also saw an increase, rising to INR 91,927 per kilogram, up from INR 90,548.
Gold Prices Across Major Indian Cities
Gold prices across different cities also reflected this upward trend:
| City | Gold Price (INR/10 grams) |
|---|---|
| Ahmedabad | 74,435 |
| Mumbai | 74,170 |
| New Delhi | 74,190 |
| Chennai | 74,430 |
| Kolkata | 74,365 |
Global Factors Influencing Gold Prices
India gold price have been influenced by various global events. Notably, geopolitical tensions in Gaza have added a risk premium to gold as a safe-haven asset. According to CNN, at least 35 Palestinians were killed in Israeli airstrikes on a refugee camp in Rafah on Sunday.
Gold prices have surged by more than 16% this year, reaching a record high of over $2,400 per ounce in May, according to the World Gold Council. This rise is primarily driven by geopolitical risks and broader economic factors such as inflation.
Economic Data and Predictions
In the U.S., the economic data has had an impact on gold prices as well. The U.S. Durable Goods Orders showed a 0.7% increase in April, following a revised 0.8% decline in March, surpassing expectations of a further 0.8% decrease.
Additionally, the University of Michigan Consumer Sentiment Index rose to 69.1 in May, surpassing the expected 67.5. While inflation expectations for one year inched up to 3.3%, the five-year inflation outlook slightly dropped to 3%.
Gold Price Predictions by Analysts
Analysts remain bullish on the future price of gold. UBS raised its forecast, predicting that gold could reach $2,600 by the end of 2024. Meanwhile, Citi analysts forecast that gold may rise to $3,000 per ounce within the next six to 18 months.
Gold Imports to India Decline
India, the second-largest gold consumer in the world, might witness a significant drop in gold imports this year. High prices are encouraging people to trade in old jewellery for new purchases. According to a report by Reuters, imports could decline by nearly 20% as a result.
Conclusion
The rise in gold prices reflects both domestic demand and global economic conditions, which continue to favor gold as a safe-haven asset. With forecasts indicating even higher prices, gold remains a valuable investment for many.
For more details about daily updates on gold prices, you can visit Daily Gold Signal, and for more in-depth updates, you may check Daily Gold Update.
