Gold may jump to ₹1.55 lakh per 10 gram in 2026: JM Financial VP
The gold market has been on a rollercoaster ride in recent years, with prices fluctuating wildly in response to various economic and geopolitical factors. However, according to Pranav Mer, Vice President of JM Financial Services, gold prices are likely to surge to new heights in 2026. In a recent statement, Mer predicted that gold prices could reach ₹1.50-₹1.55 lakh per 10 gram on the Multi Commodity Exchange (MCX) in 2026.
This prediction comes on the heels of gold futures touching an all-time high of ₹1.40 lakh per 10 gram before ending at ₹1.39 lakh on Friday on the MCX. While Mer’s prediction may seem bullish, it’s worth noting that he also cautioned that the returns in 2026 are unlikely to be as staggering as those seen in 2025. This suggests that while gold prices are likely to continue their upward trend, the pace of growth may be more moderate in the coming year.
So, what’s driving the expected surge in gold prices? According to Mer, several factors are likely to contribute to the rise in gold prices, including ongoing geopolitical tensions, economic uncertainty, and a potential decline in the value of the US dollar. Additionally, central banks’ continued accumulation of gold reserves is also likely to support higher prices.
It’s also worth noting that silver prices are also expected to rise, with Mer predicting that they could reach ₹2.75 lakh per kilogram in 2026. This would be a significant increase from current levels and would likely be driven by many of the same factors that are supporting gold prices.
For investors, the expected rise in gold prices is likely to be welcome news. Gold has long been seen as a safe-haven asset, and its price tends to rise during times of economic uncertainty. As such, it’s not uncommon for investors to turn to gold as a way to hedge against potential losses in other assets.
However, it’s also important for investors to keep in mind that gold prices can be highly volatile, and there are no guarantees that prices will continue to rise. As with any investment, it’s essential to do your research and consider your overall financial goals and risk tolerance before making any decisions.
In terms of what’s driving the expected surge in gold prices, there are several key factors to consider. One of the most significant is the ongoing geopolitical tensions between major world powers. These tensions have been simmering for some time and show no signs of easing, which is likely to continue to support gold prices.
Another factor that’s likely to contribute to the rise in gold prices is economic uncertainty. With many countries facing significant economic challenges, including high inflation, slow growth, and rising debt levels, investors are likely to turn to gold as a way to protect their wealth.
The potential decline in the value of the US dollar is also likely to support higher gold prices. As the value of the dollar falls, the price of gold (which is typically denominated in dollars) tends to rise. This is because gold becomes more attractive to investors who are looking for a safe-haven asset that can help protect them from potential losses in other currencies.
Finally, central banks’ continued accumulation of gold reserves is also likely to support higher prices. Many central banks have been increasing their gold holdings in recent years, which has helped to drive up demand and support higher prices.
In conclusion, the expected surge in gold prices to ₹1.50-₹1.55 lakh per 10 gram in 2026 is likely to be driven by a combination of factors, including ongoing geopolitical tensions, economic uncertainty, a potential decline in the value of the US dollar, and central banks’ continued accumulation of gold reserves. While there are no guarantees that prices will continue to rise, the current trends and factors suggest that gold is likely to remain a popular investment option in the coming year.
For investors who are looking to capitalize on the expected rise in gold prices, there are several options to consider. One of the most popular is to invest in gold futures or exchange-traded funds (ETFs) that track the price of gold. These investments allow you to gain exposure to the gold market without having to physically hold gold.
Another option is to invest in gold mining stocks or other companies that are involved in the gold industry. These stocks can be more volatile than gold itself, but they can also offer the potential for higher returns if the company is successful.
Ultimately, the key to investing in gold (or any other asset) is to do your research and consider your overall financial goals and risk tolerance. With the expected rise in gold prices, it’s likely that many investors will be turning to gold as a way to protect their wealth and potentially generate returns. However, it’s essential to approach any investment with caution and to carefully consider your options before making any decisions.
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