Gold prices hit record highs on MCX, reaching Rs 1,28,395 per 10 grams, driven by US Fed rate cut expectations and geopolitical tensions. Silver also climbs to new peaks amid safe-haven demand.

Gold prices in the domestic futures market jumped by Rs 1,185 to an all-time high of Rs 1,28,395 per 10 grams. Globally, gold prices crossed the USD 4,250 per ounce mark, driven by expectations of interest rate cuts by the US Federal Reserve and ongoing geopolitical tensions.

Gold futures for December delivery rose by Rs 1,185, or 0.93 percent, to a new high of Rs 1,28,395 per 10 kilos on the Multi Commodity Exchange (MCX). The February 2026 contract for yellow metal futures surged rapidly by Rs 977, or 0.76 percent, to reach an all-time high of Rs 1,29,380 per 10 grams. This was the sixth straight session of advances.

“Gold prices are still high at record levels because people think the US Federal Reserve (Fed) will cut interest rates again and tensions between Washington and Beijing are still high,” said Darshan Desai, CEO of Aspect Bullion & Refinery. He also said that the futures market thinks the Fed will lower rates by more than expected, maybe this month or in December, which might help gold prices move up again.

Also read: Silver Prices Soar as Investors Flock to Safe-Haven Assets Amid Market Uncertainty

Desai said, “Gold is also likely to stay a safe-haven asset because people are worried about rising and possibly unsustainable debt levels, a weakening US dollar, and central banks continuing to buy gold.” Silver prices on the MCX also reached fresh highs, following the rise in gold prices. The price of white metal for delivery in December went up by Rs 2,454, or 1.51 percent, to a record Rs 1,64,660 per kilogram.

The March 2026 contract also won for the fourth day in a row, increasing Rs 2,699, or 1.6 percent, to a new high of Rs 1,64,958 per kg on the commodities market. The dollar index, which shows how strong the dollar is versus a group of six other currencies, was down 0.17 percent to 98.63. This made gold prices even more appealing. Comex gold futures kept going up on the international market, reaching an all-time high of USD 4,254.80 per ounce.

“Gold prices rose above USD 4,250 per ounce on Thursday, continuing their rally to a new record, driven by safe-haven demand and growing expectations of a dovish US monetary policy,” said Jigar Trivedi, Senior Research Analyst at Reliance Securities. Trivedi further said that comments made by US Federal Reserve Chair Jerome Powell recently showed symptoms of a worsening labor market. This led markets to almost fully price in a 25 basis point rate decrease at this month’s meeting, with another one expected in December.

In the worldwide markets, silver futures also went down. The price of the gold for delivery in December went up to a record high of $52.86 per ounce. On Wednesday, US officials criticized China’s stricter rules on rare earth exports, saying they might hurt global supply chains and hinted that Washington might take action against them.

Also read:  Tata Trusts Propose Third Term for Chandrasekaran as Tata Sons Chairman

Scott Bessent, the US Treasury Secretary, indicated that Washington might think about putting curbs on China’s imports of Russian oil or taxes on its exports if it works with European allies. This might make trade relations even worse and make the market much more unstable. Analysts say that this week, both gold and silver have been hitting records because a lot of investors are putting money into precious metals. If the Fed confirms a rate drop, gold prices are likely to hit new highs in the coming weeks.