Gold price touches all-time high of Rs 60,440/sovereign on Jan 24

CHENNAI: Gold price on Wednesday set a record with one-gram costing Rs 7,555 and per sovereign Rs 60,440, from a previous all-time high of Rs 60,200 per sovereign and Rs 5,725/gram on Thursday. Silver was sold Rs 104/gram on both days.

The chances of gold price to increase within the next 10 days are high. By 2027, the rate will be closer to Rs 1 lakh/sovereign, said experts.

Concurring with this assessment, Jayantilal Challani, president of Madras Jewellers and Diamond Traders Association, said: “There is an increase in the number of people investing in gold irrespective of age. This has boosted the prices.”

From Rs 46,840 per sovereign in January 2024, the prices increased to Rs 56,100 in August-October. During Deepavali, it surged to Rs 59,640 setting a new record.

There was a time, not long ago, when platinum was costlier than gold, and used to sell at Rs 2,616 per gram. Gold Guru Santhakumar of SR Jewellery explained, “The price of platinum dipped because it has no resale value. It’s used for jewellery only. On the other hand, historically, gold has had a global demand and will remain the same in the future.

He also opined that the recent US election and President Donald Trump’s policies are helping gold prices to keep rising, which also strengthens the US dollar.

“The chances of gold inching to Rs 10,000 per gram looks probable due to the trade war and dip in oil prices. With developing nations consuming more gold and the share market looking volatile, foreign investors have started looking at gold as a long term investment,” pointed out Akshay Ramesh, a retail investor in stocks and gold.

Evolution of gold rate/ sovereign over the years

January 24, 2006 – Rs 5,992

January 24, 2009 – Rs 10,408

January 24, 2012 – Rs 20,656

January 24, 2015 – Rs 21,280

January 24, 2018 – Rs 23,096

January 24, 2021 – Rs 37,240

January 24, 2024 – Rs 46,680

January 24, 2025 – Rs 60,440