Gold Rates In India: MCX Gold Price To Hit Rs 98,000 From May 12-16; Weekly Outlook On Gold, Silver Prices

Gold prices in India continue to see a surge in demand, with weekly gains of over 3%. Optimism over potential US-China trade talks, while the US-UK trade deal, fueled prices in the international market. In India, the 24K gold price is at Rs 98,680 per 10 grams, while MCX gold is above Rs 96,500 per 10 grams. Spot gold, meanwhile, held above $3,320 levels.

In the upcoming trading week from May 12th to 16th, MCX gold price is likely to hit Rs 98,000 per 10 grams. Silver price is also seen around Rs 89,000 to Rs 98,000 per 1 kg. One of the key notable factors is that the gold-to-silver price ratio is above 100:1.

"On the MCX, gold closed near Rs 97,000 and silver around Rs 96,000 per kilogram, pushing the gold-silver ratio above 100:1. According to the LBMA, gold holdings in London vaults rose to 8,536 metric tons at the end of April, up 0.6% from the previous month, as more bullion flowed back from New York to London amid easing dislocations. Gold and silver can trade in a range of 92000-98000 and 89000-98000 respectively," said SMC Global Securities analysts in a note.

MCX Gold, Silver Prices:

MCX gold price with expiry of June 2025, ended at Rs 96,535 per 10 grams, marginally up on Friday. While MCX silver price edged higher to end at Rs 96,748 per 1kg.

Gold Rates In India:

The 10-gram gold price is at Rs 98,680 in 24 carats, while 22-carat and 18-carat gold prices were at Rs 90,450 and Rs 74,010 per 10 grams. Meanwhile, the 100-gram gold price is at Rs 986,800 in 24K, at Rs 904,500 in 22K, and Rs 740,100 in 18K. The price of the cheapest gold is Rs 9,868 per gram for 24-karat gold, Rs 9,045 per gram for 22-karat gold and Rs 7,401 per gram for 18-karat gold (also called 999 gold).

Silver Prices In India:

The price of 1 kg silver is at Rs 99,000 in India, while 100 grams and 10 grams silver prices are at Rs 9,900 and Rs 990. 8 grams and 1 gram silver prices are at Rs 792 and Rs 99.

What Will Impact Gold Prices In India From May 12-18?

Gold prices recorded a weekly gain of nearly 3.5%, even as optimism over US-China trade talks and a newly announced US-UK trade deal weighed on safe-haven demand. International prices slipped over 2% amid easing geopolitical tensions, though domestic gold held firm due to rupee fluctuations and steady demand. Upcoming trade negotiations between US and Chinese officials in Switzerland have raised hopes of a breakthrough in tariff disputes, as per the SMC's note.

Furthermore, the analysts' note highlighted that while this tempered some risk aversion, underlying economic concerns continued to support bullion. The US Federal Reserve held interest rates steady last week, as expected, but warned of rising risks from both inflation and unemployment. Fed Chair Jerome Powell confirmed that a pre-emptive rate cut is not being considered, reinforcing the central bank's wait-and-see approach.

Meanwhile, central banks continue to accumulate gold, providing long-term support to prices. According to the World Gold Council, China added 2 tonnes to its reserves in April-its sixth straight monthly increase-bringing the year's total so far to 15 tonnes. China's total reserves now stand at 2,294 tonnes. Globally, central banks purchased 243.7 tonnes in Q1 2025-down 21% year-on-year but still 24% above the five-year quarterly average, the analysts highlighted.

Despite short-term headwinds from easing trade tensions, SMC's note said, gold remains a strategic asset amid global uncertainties and a drive for diversification. In the upcoming week, COMEX gold is likely to trade between $3,225 and $3,425 per ounce, while silver may range from $31.65 to $34.00. On the domestic front, MCX gold is expected to move within Rs 93,200 to Rs 97,500, and silver could fluctuate between Rs 93,200 and Rs 99,000. Market sentiment will be influenced by global trade developments, currency fluctuations, and central bank policy cues.

Spot Gold Price:

Gold hovered around $3,320 per ounce on Friday, holding onto losses from recent sessions as optimism over US-China trade talks dented the appeal of safe-haven assets. Officials from both nations are scheduled to meet this weekend, raising hopes of progress in resolving trade disputes. The announcement of a US-UK trade agreement further eased concerns over global trade tensions. Adding to the downward pressure on the non-yielding metal, the Federal Reserve kept its key interest rate unchanged, as expected, while warning of rising risks tied to both inflation and unemployment-reinforcing its cautious stance on future policy moves. Fed Chair Jerome Powell also emphasized that the central bank is not considering a preemptive rate cut in response to potential economic fallout from tariffs. Despite recent losses, bullion remains on track for a weekly gain, as per Trading Weeks.

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