Gold Prices Rise in India Amid Global Market Volatility

Gold prices in Delhi rose by ₹400 on Monday to reach ₹1,50,300 per 10 grams. HDFC Securities and other analysts attributed the increase to firm global trends and rising retail demand ahead of the Dussehra and Diwali festive seasons. While silver prices in Delhi remained unchanged at ₹2.15 lakh per kilogram, global spot silver increased by over 1 per cent to USD 57.63 per ounce.

Global market dynamics showed conflicting trends. Spot gold initially traded at USD 4,175.57 per ounce, supported by declining US Treasury yields and easing crude oil prices. However, prices in London later fell 1.0% to $4,150 per troy ounce as US Treasury bond yields recovered to 5.10% and technology stocks rebounded. This shift coincided with a rally in the Nasdaq 100 and South Korea's Kospi Index.

Broader geopolitical and economic instability further influenced markets. Anti-austerity protests and looting across 18 French cities caused the CAC40 to drop 1.4%. Simultaneously, Brent crude prices fell 2.3% after President Donald Trump waived new Russia-related sanctions and tariffs, a move criticized by Ukrainian President Volodymyr Zelenskyy for potentially emboldening Moscow. Analysts warn that potential US Federal Reserve rate hikes and tensions in the Strait of Hormuz may continue to pressure future rates.