Ahead of New Year, gold prices drop to ₹138,340 per 10 grams for 24K

New Delhi: Ahead of the New Year, gold prices dropped to ₹138,340 per 10 grams for 24K in India.

On December 27, 24 carat and 22 carat and 18 carat gold prices hit their all-time highs of Rs 1,42,910, Rs 1,31,000 and Rs 1,09,500 respectively.

Gold prices have witnessed back-to-back record rallies over the past 10 days.

In the case of 24-carat gold, the price of 100 grams jumped sharply by ₹22,900 on December 28. This followed a rise of ₹7,600 on December 26, after gaining ₹2,200 on December 25 and ₹3,300 on December 24. The upward momentum was even stronger earlier, with prices surging by ₹21,800 on December 23 and ₹18,500 on December 22.

Before this rally, gold prices remained unchanged on December 21, while a modest increase of ₹2,200 was recorded on December 20.

Market participants attributed the fluctuation in gold prices to movements in the US dollar and changes in import duties. Experts said gold has generally been trending higher amid growing expectations of a rate cut by the US Federal Reserve and rising safe-haven demand.

One of the major reasons that gold prices have touched record highs in recent weeks is due to escalating geopolitical tensions, including developments involving the US and Venezuela, and reports of a US military strike in Nigeria, which boosted demand for the yellow metal. However, the latest decline is also linked to easing geopolitical risks, which reduced the risk premium in prices.

US President Donald Trump recently said that talks with Ukrainian President Volodymyr Zelenskiy were progressing well and that both sides were close to an agreement to end the Ukraine war.

According to data from GoodReturns, gold prices have surged nearly 81 per cent year-on-year in 2025, driven by strong global demand, though prices have softened slightly towards the end of the year.

As of December 30, gold was priced at ₹13,924 per gram for 24-carat, ₹12,764 per gram for 22-carat, and ₹10,443 per gram for 18-carat gold.

Silver prices volatile :

Silver prices showed sharp volatility, extending their record-breaking rally after a brief surge last week. After rising ₹16,000 per kg on Friday, silver contracts for March delivery gained another ₹14,400 per kg on Monday to breach the ₹2.5 lakh mark for the first time, reaching ₹2,54,174 per kg.

On December 29, silver prices stood at ₹2,58,000 per kg in the national capital, while in Chennai, the metal was priced at ₹2,81,000 per kg.

Market sentiment was also influenced by developments in China, the world’s second-largest silver producer. China is set to impose restrictions on silver exports from January 1 through a state licensing mechanism. The measures, first announced by the Ministry of Commerce on October 30, extend existing policies. Although China is among the top three global silver producers—largely as a by-product of industrial metals—it is also the world’s largest consumer and not a major exporter.