Safe-haven surge: Indian gold prices hit all-time high of ₹98,025 as global uncertainty peaks

Gold prices in India surged to an all-time high of ₹98,025 per 10 grams in Ahmedabad on Monday, April 21, 2025, reflecting a strong upward trend in the bullion market. On the Multi Commodity Exchange (MCX), gold closed at ₹95,254 per 10 grams, marking a significant gain. Meanwhile, international gold prices were trading at $3,389 per ounce as of 12:12 PM IST, underscoring the global rally driven by safe-haven demand and macroeconomic uncertainties.

Manav Modi, Senior Analyst, Commodity Research at Motilal Oswal Financial services Ltd, said, “Gold touched a record high as the dollar sank to a three-year low and trade war concerns between the United States and key trading partners stirred recession fears, making investors lean towards the safe-haven asset.”

The dollar index hit a three-year low, hovering below the 99-mark supporting bullion, while the US 10Y yield stays firm at 4.3%. Over the weekend, a Boeing jet intended for use by a Chinese airline landed back at the plane maker's U.S. production hub, a victim of the tit-for-tat bilateral tariffs launched by U.S. President Donald Trump in his global trade offensive.

Last week, Trump ordered a probe into the potential new tariffs on all U.S. critical minerals imports, a major escalation in his dispute with global trade partners and an attempt to pressure industry leader China.

Over the weekend, the US tried to ease pressure on Iran, however, tensions between Russia and Ukraine continue to take shape. China also launched major military drills near Taiwan, increasing overall uncertainties.

“The demand for physical gold was tepid in India last week as a blistering price rally curbed purchase, while premiums held firm in top consumer China. Focus this week will be on preliminary manufacturing and Services PMI from major economies, IMF meeting, comments from Fed officials and US durables goods orders data,” said Modi.

Mangesh Chauhan, MD and CFO of Sky Gold, said, “With US Dollar index trading below 100 (currently at ₹98.2), Gold has hit an all-time high of $3385.94/oz. US Dollar Index may fall to 95, thereby creating potential for Gold to climb to $3800/oz. "Momentum for US Dollar Index & Gold may reverse on a positive outcome of trade negotiations of the USA with other countries,” he added.