On the economic front, traders will closely monitor the manufacturing/ services PMI data from across regions and the US non-farm payrolls/ employment data along with consumer confidence for the month of September and speeches from several Federal Reserve officials, they added.
“… We expect the current positive momentum in both bullions to continue, however, some profit-booking cannot be ruled out towards the end of the week. Gold prices continued their positive momentum and closed the week higher by more than 3% as better-than-expected economic numbers released from the US has slightly pushed back expectations of an interest rate cut,” said Pranav Mer, Vice President, EBG – Commodity & Currency Research at JM Financial Services.
On the Multi Commodity Exchange (MCX), gold futures for December delivery soared by ₹4,188 or 3.77% during the week to close at ₹1,14,891 per 10 grams on Friday (September 26). The contract touched an all-time high of ₹1,15,139 per 10 grams on Tuesday (September 23).
Gold has now posted twelve consecutive weekly gains since June 27, when MCX prices stood at ₹95,587 per 10 grams.
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“The rally is being driven by a potent mix of US macroeconomic signals, global reserve realignments, and domestic festive demand,” said Pankaj Singh, Investment Manager on Smallcase and Founder & Principal Researcher of SmartWealth.ai.
Singh pointed out that US inflation data matched forecasts, while income and spending figures confirmed the resilience of the American economy. “Market participants remain convinced that the Federal Reserve is on track for two rate cuts by year-end, with October easing odds remaining very high. Meanwhile, lower US Treasury yields and geopolitical tensions have amplified gold’s safe-haven appeal,” he said.
Central banks’ tilt towards gold has also underpinned demand. Citing IMF data, Singh said the dollar’s share in global reserves has fallen from 71% in 1999 to 58% in 2024, while gold’s share rose to 24% in the first quarter of 2025, the highest in three decades.
“The market outlook remains slightly bullish. With festive demand building ahead of Diwali and no major US data until Friday’s jobs report, gold has every reason to hold its ground,” he added.
Echoing similar sentiment, Jyoti Prakash, Managing Partner, Equity and PMS at AlphaaMoney said: “Predicting whether the price of gold will rise or fall in the coming week is like a toss of a coin. However, this asset class is in momentum, registering record highs on Friday. Therefore, the trend is upwards.”
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He attributed the surge to solid investor interest in gold ETFs, which have drawn $50…
Read More: Gold, silver may extend rally with US Jobs data, festive demand in focus:
