Precious metals outperformed equities and bonds in FY26, with gold climbing from ₹91,316 to ₹1,47,450 per 10 gm and silver rising sharply to ₹2,29,033 per kg. Global uncertainties, central bank buying, and industrial demand fueled the rally, cementing bullion’s role as a safe-haven investment.
Introduction
FY26 was a landmark year for bullion markets. Gold and silver not only delivered record-breaking returns but also reaffirmed their importance as hedges against inflation and geopolitical risks.
Gold’s Performance
Gold prices appreciated 61.47% during FY26, peaking at ₹1,80,779 per 10 gm in January 2026. Central bank purchases and investor flight to safety amid global conflicts supported the rally.
Silver’s Rally
Silver outshone gold, surging 128% in FY26. Its dual role as a precious and industrial metal, particularly in renewable energy and electronics, drove extraordinary demand and price appreciation.
Market Outlook
Analysts expect continued volatility in FY27, with precious metals likely to remain attractive. However, profit booking and monetary policy shifts could influence near-term trends.
Key Highlights
• Gold gained 61% in FY26, peaking at ₹1,80,779 per 10 gm
• Silver surged 128%, driven by industrial demand
• Precious metals outperformed equities and bonds
• Inflation and geopolitical risks boosted safe-haven buying
• Analysts expect volatility but continued investor interest
Sources: Deccan Chronicle, Mint, OneIndia, Indian Bullion & Jewellers Association (IBJA), Multi Commodity Exchange (MCX)