Gold Reaches New Heights: Is Silver the True Star of This Year’s Festive Buying Season?

With gold prices climbing above ₹80,000 per 10 grams, investor interest in the precious metal is on the rise. As of Thursday, October 24, 2024, the prices stand at ₹80,080 for 24K gold, ₹73,410 for 22K, and ₹48,056 for 18K per 10 grams. Amid global uncertainties and market fluctuations, many are questioning whether this festive season presents a good opportunity to invest in gold—and silver, which is also gaining traction.

The recent spike in gold prices is primarily influenced by international market trends, especially in the U.S., where key economic indicators like jobless claims are being closely monitored. Jateen Trivedi from LKP Securities explains, “Gold’s increase is bolstered by Comex gains, approaching $2,750 per ounce, along with a favorable interest rate environment.” As geopolitical tensions persist and central banks continue their purchasing activities, gold prices are likely to remain strong. Additionally, investors are closely watching the upcoming U.S. elections, which may enhance gold’s allure as a safe haven.

Silver, often considered a complement to gold, has also experienced significant gains, reaching ₹1.01 lakh per kilogram. Its rising demand is primarily driven by industrial applications, especially in electronics and electric vehicles. Experts anticipate that silver’s upward trajectory will continue, with predictions suggesting it could reach ₹1.25 lakh per kilogram within the next year. “Increasing industrial demand, high domestic imports, and ETF investments have all contributed to silver’s strength,” notes Manav Modi, a bullion analyst at Motilal Oswal Financial Services.