Gold, Silver Prices Outlook: Will 24K, 22K, 18K Prices Rise In Diwali, US Election? New Target

Gold prices in India continue to trend near their all-time highs ahead of the Diwali festival and the US election. A similar trend is witnessed in silver prices too. On Friday, October 25, MCX gold price held above Rs 78,400 per 10 grams mark, and silver shied away from Rs 97,100 per kg levels. Nonetheless, the precious metals ended higher despite the volatile market.

In the late hours of Friday, as per Indian Standard Time, spot gold and US gold futures recovered mildly after a bearish start to the day. Currently, XAU/USD - Gold Spot US Dollar is at $2,739.19 per ounce, up by 0.12%, while US gold futures were at $2,752.30 an ounce, up by 0.12%.

Meanwhile, MCX gold futures with December expiry surged by Rs 101 or 0.13% to end at Rs 78,428 per 10 grams on Friday. Earlier this week, this bullion touched its new all-time high of Rs 78,919.

Additionally, after market hours on October 25, MCX silver with December expiry closed at Rs 97,100 per 1kg, up by Rs 68 or 0.07%. Earlier, this week, silver touched its lifetime high of Rs 1,00,289 per 1kg.

YTD, MCX gold is up nearly 21% from the current price but surged by nearly 22% from its all-time high. Also, silver prices have climbed by 22% from the current price, but skyrocketed more than 26% from its all-time high, as per MCX data.

Will the upside trend continue especially in the upcoming events like Diwali or US elections?

Prithviraj Kothari, Managing Director of RiddiSiddhi Bullions Limited (RSBL) said, amid geopolitical tensions, election anxiety, and the global monetary easing route to be pursued by central banks, gold and silver have continued their upsurge rising more than 33% and 45% respectively in the first 10 months of 2024.

"The trend is expected to be positive till Diwali and 5th Nov US Election date," Kothari said.

Target Price: As per Kothari, Gold is expected to touch $2800 (~Rs 80000) and Silver up to $36 (~Rs 103,000) by Diwali.