24-carat gold prices rose to ₹1.59 lakh per 10 grams on Monday, May 25, marking continued recovery from previous declines. According to PTI, MCX gold June futures climbed 0.27% to ₹1,59,105 per 10 grams with a business turnover of 5,312 lots, while 22-carat gold also strengthened across major cities. The latest recovery comes after 24-carat gold prices dropped to ₹1.58 lakh per 10 grams in previous trading sessions, with Delhi, Mumbai, and Chennai recording ₹1.58 lakh per 10 grams, while Kolkata maintained ₹1.58 lakh and Bengaluru at ₹1.58 lakh. 22-carat gold also declined to ₹1.45 lakh per 10 grams across all major cities, with Chennai recording the highest at ₹1.47 lakh. Internationally, Comex gold futures for June contract rose nearly 1% to USD 4,590.62 per ounce in New York, as per PTI.
City-wise gold rates today show widespread gains across major Indian cities, with Chennai recording the highest rates at ₹16,124 per gram for 24K gold. According to The Times of India, Delhi's 24K gold rate stands at ₹15,953 per gram, while Mumbai, Kolkata, and Bengaluru all maintain ₹15,938 per gram. 22K gold prices range from ₹14,610 to ₹14,780 per gram across different cities, with 18K gold priced between ₹11,954 to ₹12,400 per gram. Hyderabad, Ahmedabad, Jaipur, Pune, Kanpur, and Bhubaneswar also witnessed increases in bullion prices, reflecting the nationwide recovery in gold markets.
Silver prices surged 1.55% to ₹2,76,052 per kg on Monday, May 25, showing significant recovery from Friday's decline. According to NDTV Profit, MCX silver July futures jumped 1.55% to ₹2,76,052 per kg on Monday, while on Friday, the MCX silver July futures ended 0.09% lower at ₹2,71,600 per kg. Silver prices had previously fallen by ₹1,883 to ₹2.73 lakh per kilogram on Friday as participants reduced their market positions. Globally, silver was trading 0.53% lower at USD 76.26 per ounce in New York, but the latest surge reflects renewed investor interest in precious metals.
Gold prices surged globally as signs the US and Iran are nearing a deal that would reopen the Strait of Hormuz tempered inflation concerns, according to Bloomberg. The yellow metal rose up to 1.6% to around $4,580 an ounce, wiping away a moderate loss from last week. Negotiations on the precise language of the deal were ongoing and it may take several days for both sides to get final approval, with President Donald Trump saying on social media he won't "rush" into an agreement. Gaurav Garg, research analyst at Lemonn Markets Desk, attributed the rise to a weaker US dollar and positive sentiment linked to the ongoing US-Iran negotiations, as per PTI. Hopes of easing tensions in West Asia have reduced fears of another inflationary spike driven by oil prices, supporting sentiment in precious metals markets.
According to GoodReturns reports, fears of oil-driven inflation and higher global interest rates are weighing on gold prices amid current market conditions. Rising fuel costs are increasing transportation and manufacturing expenses worldwide, pushing inflation risks higher. Brent crude oil is trading between $105 and $111 per barrel and remaining over 40% higher than pre-conflict levels, while US WTI crude futures are hovering near $99–$100 per barrel amid ongoing supply concerns. Geopolitical tensions supporting safe-haven demand, with US-Iran negotiations influencing volatility and strong US dollar capping sharp rallies. Despite current volatility, gold remains among the strongest inflation hedges with long-term returns continuing to outperform several debt assets.
Gold ETFs continue to attract strong investor interest with Nippon India Mutual Fund Gold ETF at 18.2% returns and SBI Mutual Fund Gold ETF at 17.5% returns. HDFC Mutual Fund Gold ETF recorded 17.8% returns while ICICI Prudential Mutual Fund Gold ETF achieved 18.1% returns. UTI Mutual Fund Gold ETF posted 17.3% returns with Axis Mutual Fund Gold ETF at 17.2% returns. Kotak Mahindra Mutual Fund Gold ETF recorded 17.6% returns and Aditya Birla Sun Life Mutual Fund Gold ETF at 17.4% returns. Gold ETFs offer easier liquidity, no storage risk and lower transaction costs for investors compared to physical gold purchases.
