Gold prices are anticipated to decline significantly ahead of the Dhanteras and Diwali festive seasons, offering potential relief to consumers, according to a report by tv9marathi.com. This projection is based on forecasts from HSBC Bank, which indicate a reduction in average gold prices in the coming years.

The expected drop in prices is attributed to global uncertainties and an increase in American bond yields, factors that have contributed to a general decrease in both gold and silver rates in recent months.

Revised Price Forecasts

According to a Reuters report cited by tv9marathi.com, HSBC Bank has revised its average gold price forecast for 2026 downwards to 4,490 U.S. dollars per ounce. In India, this price is expected to be approximately 1,48,624 rupees.

For 2027, HSBC has further lowered its average price estimate to 4,825 U.S. dollars per ounce. This would translate to an approximate price of 1,59,724 rupees per 10 grams in India, as reported by tv9marathi.com.

These revised forecasts suggest that while gold may become more affordable this year, particularly before Diwali, prices could see an increase in the subsequent year.

Current Market Snapshot

Globally, the spot price for gold was trading at 4,184.45 U.S. dollars per ounce, having decreased by two percent over the past week, according to tv9marathi.com. The previous day, spot gold was recorded at 4,165.29 U.S. dollars per ounce in the international market.

The current global market price for silver stands at 61.18 U.S. dollars per ounce.

In India, during the ongoing festive season, gold and silver prices in Delhi were reported as follows by tv9marathi.com:

  • 24-carat gold: 1,53,314 rupees per 10 grams
  • 22-carat gold: 1,41,141 rupees per 10 grams
  • 18-carat gold: 1,15,563 rupees per 10 grams

Silver prices in Delhi were reported to range between 2,35,000 rupees and 2,51,900 rupees.

Market Influences and Investor Outlook

The decline in gold prices from their record highs has been influenced by prevailing global uncertainties and an uptick in American bond yields. However, recent developments in the United States have also played a role.

Weakening inflation data in the U.S. has led to a reduced expectation of interest rate hikes by the Federal Reserve. This shift in sentiment has contributed to an increase in gold prices over the last two trading sessions.

Investors are currently monitoring upcoming U.S. payroll data for further indications of economic trends that could impact precious metal markets.

Implications for Buyers and Central Banks

The anticipated reduction in gold prices before the festive period is expected to provide a significant opportunity for consumers in India, where the purchase of gold and silver during festivals like Dhanteras and Diwali is a deeply rooted tradition. This could offer considerable relief to buyers looking to invest in precious metals.

Furthermore, tv9marathi.com noted that if gold prices were to fall to around 4,000 U.S. dollars per ounce, central banks globally might initiate gold purchases. Such a scenario could also stimulate increased investment in gold through other channels.