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 due to various global economic 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 forecast is based on various market trends and economic indicators, which suggest that gold is likely to continue its upward trajectory in the coming year.
Gold futures have already touched an all-time high of ₹1.40 lakh per 10 gram on the MCX, before ending at ₹1.39 lakh on Friday. This surge in gold prices is attributed to a combination of factors, including a weak US dollar, rising inflation, and geopolitical tensions. The Federal Reserve’s decision to keep interest rates low has also contributed to the increase in gold prices, as investors seek safe-haven assets to park their money.
However, Mer cautioned that the staggering returns seen in 2025 are not expected to repeat in 2026. The gold market is known for its volatility, and prices can fluctuate rapidly in response to changing market conditions. Therefore, investors should be prepared for a more modest growth in gold prices in the coming year.
The expected surge in gold prices is not limited to India alone. Global gold prices are also expected to rise, driven by a combination of factors such as central bank buying, jewelry demand, and investor interest. The World Gold Council has reported that central banks have been net buyers of gold in recent years, driven by a desire to diversify their reserves and reduce their dependence on the US dollar.
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 strong industrial demand and investor interest. Silver is widely used in various industries such as electronics, solar panels, and jewelry, and its prices are closely tied to gold prices.
The expected surge in gold and silver prices is likely to have a significant impact on the Indian economy. India is one of the largest consumers of gold and silver, and a rise in prices could lead to a decrease in demand. This, in turn, could have a negative impact on the country’s trade deficit, as gold and silver imports are a significant contributor to the country’s import bill.
In conclusion, the gold market is expected to continue its upward trajectory in 2026, driven by a combination of factors such as a weak US dollar, rising inflation, and geopolitical tensions. While the staggering returns seen in 2025 are not expected to repeat, gold prices are likely to surge to new heights, reaching ₹1.50-₹1.55 lakh per 10 gram on the MCX. Investors should be prepared for a more modest growth in gold prices in the coming year and should keep a close eye on market trends and economic indicators.
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