On Wednesday, October 29, 2025, gold prices in the national capital experienced a significant resurgence, climbing by an impressive ₹2,600 to reach ₹1,24,400 per 10 grams. This remarkable rebound snapped a two-day losing streak, driven primarily by a renewed surge in safe-haven buying as investors keenly awaited the crucial policy decision from the U.S. Federal Reserve.
According to data from the All India Sarafa Association, 99.5% pure gold saw its value increase by ₹2,600, pushing its price to ₹1,23,800 per 10 grams (all taxes included). This was a notable rise from its previous closing price of ₹1,21,200 per 10 grams.
Just the day before, on Tuesday, October 28, 2025, the purer 99.9% gold had closed at a slightly higher ₹1,21,800 per 10 grams.
Saumil Gandhi, a senior commodities analyst at HDFC Securities, commented on the market’s movement: “Gold prices staged a strong comeback on Wednesday, successfully surpassing the significant $4,000 per ounce mark. This surge occurred just before the highly anticipated announcement from the Federal Open Market Committee (FOMC) policy meeting.”
Silver wasn’t left behind in this rally, experiencing its own substantial surge. Prices for the white metal jumped by ₹6,700, reaching ₹1,51,700 per kilogram (including all taxes). This was a significant increase from its Tuesday closing price of ₹1,45,000 per kg, as reported by the association.
Mr. Gandhi further attributed the upward trend to a combination of attractive bargain buying opportunities and a renewed demand for safe-haven assets, largely fueled by escalating geopolitical tensions in the Middle East.
Globally, spot gold prices saw a remarkable ascent, increasing by $77.26, or 1.95%, to settle at $4,029.53 per ounce. This strong performance brought an end to its recent three-day losing streak.
Praveen Singh, head of commodities and currencies at Mirae Asset Sharekhan, commented, “Spot gold is currently hovering around $4,020 per ounce, attempting to bounce back from its Tuesday low of $3,886. All eyes are on the FOMC’s monetary policy decision, expected later tonight.”
Singh added, “There’s a broad expectation that the Fed will implement a 25 basis point rate cut, shifting its focus towards addressing the signs of a weakening job market.”
He cautioned that while a Fed rate cut would likely mitigate further declines, gold prices are not entirely in the clear yet.
In other market news, the dollar index strengthened by 0.15% to 98.82 in anticipation of the Fed’s decision. Analysts suggested that any positive developments regarding U.S.-China trade relations could potentially temper the demand for safe-haven assets like gold.
Internationally, spot silver prices also experienced a robust increase, rising by 2.85% to reach $48.40 per ounce.
Ongoing geopolitical uncertainties continue to influence markets, especially after the U.S. Senate once again failed to pass a Republican-supported bill aimed at resolving the government shutdown.
Furthermore, experts noted that the cancellation of a meeting between U.S. President Donald Trump and Russian President Vladimir Putin, following new sanctions on Russia’s leading oil firms, could provide continued support for precious metals as investors seek stability.