Gold hits all-time high above $4,000 globally; Indian futures touch Rs 1.22 lakh on MCX

Gold touched a new lifetime high on Wednesday, October 8, crossing the $4,000 per ounce mark in global trade for the first time. The rally came on the back of rising uncertainty in world markets and growing bets that the US Federal Reserve could begin cutting interest rates before the end of the year.

In India, futures on the Multi Commodity Exchange (MCX) followed the global trend, with the December contract rising to Rs 1,22,220 per 10 grams in early trade. Prices have been firm through the week, supported by a weaker rupee and steady retail demand ahead of the festive season. Silver too traded stronger, with December futures climbing to Rs 1,48,000 per kg.

Globally, spot gold was last quoted around $4,002 per ounce, while futures on the US Commodity Exchange inched above $4,025. The metal's climb past the psychological $4,000 level highlights its safe-haven appeal amid persistent worries about slowing global growth and political tensions in major economies.

The surge follows a series of developments that have shaken investor confidence - including the ongoing US government shutdown, political strain in Europe and weaker-than-expected data from Japan and Argentina. These factors have pushed investors towards gold as they cut exposure to riskier assets.

In the domestic market, gold has been on a steady rise through 2025, gaining more than 55 per cent since January. Apart from global cues, local buying by households and central banks has played a key role in driving demand. Gold exchange-traded funds have also seen strong inflows through the year.

The record run has had a ripple effect across sectors. The gold loan industry, which benefits from higher valuations, is expanding faster than expected.

According to ICRA, the organised gold loan market could touch Rs 15 trillion by March 2026, buoyed by rising household borrowing and stronger collateral values.

With both international and domestic benchmarks at record highs, gold’s appeal as a store of value remains strong. For many Indian families, the surge has reaffirmed the metal's place as both an emotional and financial investment.