Hyderabad: Gold rates in Hyderabad surged to levels never seen before on Saturday as investors turned to safe-haven assets due to global factors.
The price of 10 grams of 24-carat gold reached Rs 1,08,490 on Saturday.
Reason for surge
Bullion traders said that the pick-up in demand by investors helped the rally in the precious metal.
Investors are shifting to gold due to trade tensions amid geopolitical concerns, including US President Donald Trump’s tariff threats to many countries, including India, Brazil, Russia, and others, and the ongoing conflicts in Ukraine and the Gaza Strip.
Moreover, a weaker rupee, which has hit a record low against the US dollar, is further contributing to the surge in gold rates.
Gold and silver both hit new all-time highs this week, continuing their upward momentum in both domestic and international markets.
Gold rates trend in Hyderabad
As of Monday, the price of 10 grams of 22-carat gold in Hyderabad stands at Rs 99,450, whereas 24-carat gold has surged to Rs 1,08,490.
When compared to rates at the beginning of the year—when 22-carat gold was priced at Rs 71,500 and 24-carat gold at Rs 78,000—this represents a jump of over 39 percent.
Hyderabad’s spike in gold rates is part of a nationwide trend, with other major cities like Mumbai, Delhi, and Bengaluru also witnessing substantial increases.
Central banks hold more gold than US bonds
The price of precious metals continued to rise despite recent profit-taking ahead of significant U.S. employment data, thanks to strong support from central bank demand and global uncertainties.
For the first time in over three decades, central banks around the world are holding more gold than US government bonds, marking a major shift in how countries manage their reserves.
Traditionally, most nations kept their “treasure chest” of reserves filled with US dollars, some euros, American government bonds, known as Treasuries, and a smaller share of gold. But now, gold has taken the lead.
This change has been driven largely by gold prices, which have soared above $3,500 an ounce this year, according to Reuters data.
The future direction of gold rates in Hyderabad and across the world will mainly depend on US Fed rates, tariff policies, and geopolitical tensions across the world.
