Gold price in India: Following a 60% rise this year, gold prices are set to script history — poised for the best yearly gains in 46 years since 1979. Treading higher for the fourth year in a row, gold prices in India touched a record this year at ₹1,32,294 on the MCX, with Trump tariff tantrum being a major trigger behind the boom in the precious metal, triggering central bank buying and rate cuts by the US Federal Reserve.
After a brief pullback, bullion bulls are roaring again as MCX gold prices rose to ₹126,283, nearing their record high.
The latest boost has come as Fed rate cut hopes for the December meeting rekindled after a brief pause. Traders are pricing in an 85% chance of a rate cut in December, up from 50% a week earlier.
Dr Ravi Singh, Chief Research Officer at Master Capital Services, said, “Markets are now more focused on when easing begins rather than on further tightening, which keeps real yields under pressure. That naturally helps gold. Alongside this, geopolitical risks haven’t eased meaningfully, so safe-haven demand continues in the background.”
The drawn-out Russia-Ukraine peace talks kept geopolitical risks elevated. US President Donald Trump‘s irrational tariff policies have already spooked the global market, which has benefited precious metals.
The de-dollarisation trend initiated by several central banks globally has resulted in sharp buying by them. Last year, central banks globally added over 1,180 tonnes to their reserves. Although the pace of buying has slowed this year due to gold trading at record highs, central banks are still on track to reach around 1,000 tonnes by year-end, as per Axis Direct.
Add to this rupee fluctuations and steady ETF inflow, which have added to gold’s strength.
Can gold’s bull run continue?
These factors, like global uncertainty, combined with expectations of rate cuts, will benefit gold prices next year, according to analysts.
“The world hasn’t really moved into a low-risk environment — inflation hasn’t fully cooled, geopolitics remains messy, and growth visibility is patchy. That keeps long-term demand for gold intact. The pace of returns may slow after such a strong run, but the trend itself doesn’t look broken yet,” said Singh.
He pointed out that the physical demand has held up better than expected despite higher prices. Technically, MCX Gold staying above ₹100,000 has kept momentum on the bulls’ side, while a breakout above ₹130,000 strengthened the case for a push toward ₹150,000 in the current phase.
As Axis Direct analysts, one more rate cut by the Fed is expected in the month of December. “If this materialises, it would provide additional bullish momentum for gold.”
Technically, too, gold is exhibiting strength. The breakout above the multi-month resistance zone near ₹1,01,500– ₹1,06,000 has been decisive, supported by expanding bullish candles and healthy volume follow-through, said the brokerage.
Post-breakout, gold has shown strong momentum, recently hitting a fresh lifetime high near ₹1,32,000.
The candlestick formation indicates aggressive dip-buying, with no clear signs of trend exhaustion, said the brokerage; however, it cautioned that a steep vertical rise may warrant a short-term consolidation or a healthy pullback.
The brokerage advised traders to accumulate gold on dips in the range of ₹1,17,000 to ₹1,08,000 with an upside target of ₹1,40,000-1,45,000 by the end of 2026.
Meanwhile, Singh noted that MCX Gold has formed a solid base near 121000-123000 and any dips are likely to be viewed as buying opportunities. “On the upside, 128000-130000 is a heavy resistance band where supply could emerge. Some consolidation is healthy after a big rally, but structurally gold still looks like a portfolio hedge rather than a short-term trade going into 2026,” he added.
Risks to gold price rally
However, gold’s long-term story is strong, but the road ahead won’t be one-way. Any spike in the US dollar or reversal in the Fed’s dovish stance.
“The biggest risk is if global growth surprises on the upside and central banks are forced to stay tight for longer than what markets are prepared for. That would lift real interest rates and immediately change the equation for gold. A sustained recovery in the US dollar could also limit upside,” said Singh.
From a technical lens, MCX Gold slipping below ₹1,20,000 would be an early warning sign of trend fatigue, and below that, ₹1,08,000 is the next important support zone, he added.
Gold prices in Delhi, Mumbai and other cities
Here’s a look at spot and MCX gold prices in different Indian cities:
| City | MCX (Rs/10 gram) | 24 karat spot (Rs/10gram) | 22 karat spot (Rs/10 gram) |
|---|---|---|---|
| Delhi | 126042 | 126,230 | 115,711 |
| Mumbai | 126042 | 126,450 | 115,913 |
| Bangalore | 126042 | 126,550 | 116,004 |
| Chennai | 126042 | 126,810 | 116,243 |
| Hyderabad | 126042 | 126,650 | 116,096 |
| Kolkata | 126042 | 126,280 | 115,757 |
Disclaimer: This story is for educational purposes only. The views and recommendations expressed are those of individual analysts or broking firms, not Mint. We advise investors to consult with certified experts before making any investment decisions, as market conditions can change rapidly and circumstances may vary.
