Gold futures fall: Best time to buy the precious yellow metal?

Gold finally came down from its record-high throne as it slumped Rs 606 to Rs 1,07,122 per 10 grams in the domestic futures market on Monday. The reason: Investors booking profits in line with a weaker international market.

Gold futures for October delivery on the Multi-Commodity Exchange (MCX) slipped 0.56 per cent after it had soared to a lifetime high of Rs 1,07,807 per 10 grams on Friday.  December futures of gold also fell by Rs 612 to Rs 1,08,176 per 10 grams.

Chinese banks have increased their holdings of gold, a position they adopted last December to reduce their reliance on the US dollar.

The RBI has also been selling dollars to soften the blow to the rupee, hinting at an increased reliance on bullion.

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In its latest report, the RBI stated that its gold reserves amounted to $86.769 billion.

While this is a temporary dip for the precious metal, gold prices in India are expected to continue rising.

The latest ICICI Bank Economic Research Group research note stated that gold would trade between Rs 99,500 and Rs 1,10,000 per 10 grams over the rest of 2025. And by the first half of 2026, it would move higher to the Rs 1,10,000-1,25,000 band.

So far, gold prices have jumped at least 33 per cent this year.

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