Gold prices surged to record highs in domestic and global markets on Monday, driven by safe-haven demand amid the ongoing US government shutdown and expectations of further Federal Reserve rate cuts.On the Multi Commodity Exchange (MCX), December gold futures jumped Rs 1,447, or 1.22%, to a lifetime high of Rs 1,19,560 per 10 grams. The February 2026 contract extended gains for the seventh straight session, climbing Rs 1,512, or 1.27%, to a record Rs 1,20,845 per 10 grams. “Gold prices hit record highs, driven by strong demand amid the ongoing US government shutdown, which has delayed the release of key economic data. Despite a nearly 50 per cent rally in 2025 so far, investors continue to favour gold as uncertainty lingers,” Aksha Kamboj, Vice President – India Bullion and Jewellers Association and Executive Chairperson – Aspect Global Ventures told PTI.Analysts noted mixed physical demand, with weak buying in China offset by steady purchases across other Asian markets. Silver also rallied, with December futures rising Rs 1,956, or 1.34%, to Rs 1,47,700 per kg, while March 2026 contracts gained Rs 2,053, or 1.39%, to Rs 1,49,321 per kg.Comex gold futures jumps On the global front, Comex gold futures jumped past $3,900 an ounce for the first time in early Asian trade, driven by safe-haven demand amid the US government shutdown.Spot gold rose 0.6% to $3,910.09 per ounce by 23:53 GMT on Sunday, while US December gold futures climbed 0.7% to $3,935. The surge reflects growing investor caution and a flight to safe assets amid US political uncertainty.“Silver climbed above USD 48.3 per ounce as the ongoing US government shutdown and expectations of further Federal Reserve rate cuts boosted demand for safe-haven assets. Lawmakers once again failed to secure a funding deal, delaying key major data releases, including September’s jobs report,” Jigar Trivedi, Senior Research Analyst at Reliance Securities told PTI.Gold has climbed 49% so far in 2025, following a 27% rise in 2024, supported by central bank buying, ETF demand, a weaker dollar, and retail investor interest. Investors will watch closely for upcoming Fed policy signals, including remarks from Fed Governor Stephen Miran, the release of FOMC minutes, and Chair Jerome Powell’s speech later this week.
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