Gold may jump to ₹1.55 lakh per 10 gram in 2026: JM Financial VP
The year 2025 has been a remarkable one for gold investors, with the precious metal touching new heights and yielding impressive returns. As the year comes to a close, market experts are now looking ahead to 2026, predicting that gold prices could surge even further. According to Pranav Mer, Vice President at JM Financial Services, gold prices could reach ₹1.50-₹1.55 lakh per 10 gram on the Multi Commodity Exchange (MCX) in 2026. However, he cautioned that the returns may not be as staggering as they were in 2025.
Gold futures have been on a tear in recent times, touching an all-time high of ₹1.40 lakh per 10 gram before ending at ₹1.39 lakh on Friday on the MCX. This upward trend is expected to continue into the new year, driven by a combination of factors including inflation, interest rates, and global economic trends. The Federal Reserve’s monetary policy decisions, in particular, are likely to play a significant role in shaping the gold market in 2026.
The Fed’s minutes, which are scheduled to be released soon, will provide valuable insights into the central bank’s thinking on interest rates and inflation. A dovish stance by the Fed could lead to a decline in the US dollar, which in turn would boost gold prices. On the other hand, a hawkish stance could lead to a rise in interest rates, which could dampen gold demand and prices.
Mer noted that while gold prices are expected to rise in 2026, the returns may not be as spectacular as they were in 2025. This is because the market has already factored in many of the positive factors that drove gold prices higher in 2025. However, he added that the outlook for gold remains positive, driven by ongoing demand from central banks, jewelry manufacturers, and investors.
In addition to gold, silver prices are also expected to rise in 2026. Mer predicted that silver prices could touch ₹2.75 lakh per kilogram, driven by strong demand from the industrial sector. The use of silver in solar panels, electronics, and other industries is expected to drive demand for the metal, leading to higher prices.
The outlook for gold and silver in 2026 is also influenced by global economic trends. The ongoing trade tensions between the US and China, the Brexit uncertainty, and the slowing down of global economic growth are all expected to contribute to a rise in gold and silver prices. Investors are likely to seek safe-haven assets such as gold and silver in times of economic uncertainty, which could drive prices higher.
In conclusion, the outlook for gold and silver in 2026 is positive, with prices expected to rise driven by a combination of factors including inflation, interest rates, and global economic trends. While the returns may not be as staggering as they were in 2025, investors can still expect to benefit from investing in these precious metals. As always, it is essential to keep a close eye on market trends and economic developments to make informed investment decisions.
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