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 expected 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 a remarkable year for gold, with prices 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 ambitious, it’s worth noting that gold has been a strong performer in recent years, driven by a combination of factors including inflation, currency fluctuations, and geopolitical tensions.
However, Mer also cautioned that investors should not expect the same level of returns in 2026 as they saw in 2025. The gold market is known for its volatility, and prices can be affected by a wide range of factors, including changes in interest rates, inflation, and global economic trends. As such, investors should be prepared for a potentially bumpy ride in the coming year.
So, what’s driving Mer’s prediction of a surge in gold prices in 2026? One key factor is the expected slowdown in the global economy, which could lead to increased demand for safe-haven assets like gold. Additionally, the ongoing geopolitical tensions and currency fluctuations could also contribute to a rise in gold prices.
Another factor that could drive up gold prices is the expected increase in inflation. With many countries around the world experiencing rising inflation, investors may turn to gold as a hedge against inflation. Gold has traditionally been seen as a store of value and a hedge against inflation, and as such, it’s likely to attract more investors in an inflationary environment.
It’s also worth noting that the gold market is not just driven by investor demand, but also by central bank buying. In recent years, central banks around the world have been increasing their gold reserves, which has helped to drive up prices. This trend is expected to continue in 2026, with many central banks likely to continue buying gold as a way to diversify their reserves.
In addition to gold, silver prices are also expected to rise in 2026. Mer predicted that silver prices could reach ₹2.75 lakh per kilogram, driven by increased demand from the industrial sector. Silver is used in a wide range of industrial applications, including electronics, solar panels, and medical equipment, and as such, it’s likely to attract more investors in the coming year.
Overall, while Mer’s prediction of a surge in gold prices in 2026 may seem ambitious, it’s based on a range of factors that are likely to drive up demand for the precious metal. With the global economy expected to slow down, inflation on the rise, and geopolitical tensions continuing to simmer, it’s likely that gold will remain a popular investment destination in the coming year.
As such, investors who are looking to diversify their portfolios and hedge against inflation and currency fluctuations may want to consider investing in gold. However, as with any investment, it’s essential to do your research and understand the risks involved before making a decision.
In conclusion, the gold market is expected to remain volatile in 2026, driven by a range of factors including economic trends, geopolitical tensions, and currency fluctuations. While Mer’s prediction of a surge in gold prices may seem ambitious, it’s based on a range of factors that are likely to drive up demand for the precious metal. As such, investors who are looking to diversify their portfolios and hedge against inflation and currency fluctuations may want to consider investing in gold.
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