Gold Prices in India Hit Record Highs in Early 2026

In India, gold demand remains resilient but measured, as elevated prices have encouraged consumers to shift toward lightweight jewellery and lower-purity options.

SEATTLE (Scrap Monster): Gold prices have surged to uncharted territory in early 2026, extending the powerful rally seen last year. International gold prices climbed nearly 6% in the first 13 days of the year, hitting five new record highs and crossing the US$4,600 per ounce mark.

The latest gains follow a 4.2% rise in December and a remarkable 67% jump in 2025, the strongest annual performance since 1979. Domestic prices mirrored the global trend, with gold reaching INR 139,799 per 10 grams, said the latest India gold report published by the World Gold Council (WGC).

India Gold Prices Rise as Investment Demand Offsets Weak Jewellery Sales

The sustained uptrend is being driven by heightened geopolitical risks, policy uncertainty and strong safe-haven demand, supported by continued inflows into global gold exchange-traded funds (ETFs). In India, gold demand remains resilient but measured, as elevated prices have encouraged consumers to shift toward lightweight jewellery and lower-purity options.

Listed jewellery retailers reported strong year-on-year revenue growth in the October–December quarter, largely led by higher prices and rising investment interest in gold coins. Meanwhile, Indian gold ETFs recorded record inflows in 2025, highlighting growing investor preference for gold as a portfolio diversifier. Digital gold purchases also gained momentum, reflecting changing investment behaviour and wider market participation.