Gold prices are up about 70% so far this year, while silver has surged more than 150%, marking their strongest annual gains in decades. Despite the strong momentum, market participants urge caution at elevated levels. Buying gold at record highs carries risks, and experts advise against aggressive lump-sum purchases.
The sharp rise in gold prices has reshaped household borrowing behaviour. Gold loans have emerged as one of the fastest-growing segments of retail credit, with loans against gold jewellery rising 128.5% year-on-year to Rs 3.38 lakh crore in October 2025. Should you go for gold loans?
Gold climbed to a fresh peak above $4,530 an ounce on Friday, extending its best run in decades. Silver surged past $75 for the first time, while platinum jumped nearly 8% to a record high. Markets are betting on Fed rate cuts, a weaker dollar and sustained geopolitical risks.
Silver has emerged as the standout performer, decisively outperforming gold and most global asset classes with extraordinary returns of 140–145 per cent. According to Ajay Kedia, MD & Director of Kedia Advisory, such a surge has rarely been witnessed in a single year. Unlike previous rallies driven largely by speculation, the current cycle is fundamentally different, powered by a sharp rise in industrial demand from clean energy, electric vehicles, solar power and data centres, alongside strong ETF inflows. With international silver prices already hovering near $67 an ounce, Ajay Kedia expects the metal to test $75–80 levels by 2026. On the domestic front, silver prices could conservatively approach ₹2.5 lakh per kilogram. While volatility remains high — a characteristic feature of silver — Kedia advises investors not to fear corrections and instead adopt a disciplined approach through SIPs. As industrial demand reshapes the silver market, the white metal may continue to surprise on the upside in 2026.
Gold, long regarded by Indian households as a store of value and a hedge during times of crisis, is now undergoing a fundamental shift in how it is viewed as an investment. For the first time in many years, investors are looking beyond physical gold and embracing financial instruments such as gold ETFs, signalling a maturing approach to gold purely as an asset class. Speaking on this evolving trend, Ajay Kedia, MD & Director of Kedia Advisory, highlights how gold ETFs have emerged as a surprise performer, reflecting deeper investor confidence. While the extraordinary returns of the past may not be repeated, Ajay Kedia expects gold to continue delivering steady gains, with annual returns in the range of 15–18 per cent appearing achievable as key global and macroeconomic factors remain largely intact. On the price front, he projects international gold prices could approach $4,800, while domestic prices in India may move closer to ₹1,50,000. As gold transitions from a traditional safe haven to a strategic investment choice, 2026 could mark another significant chapter in its journey.
Unlike gold and silver, platinum occupies a unique position as both a precious and an industrial metal. According to the World Platinum Investment Council (WPIC), the global platinum market is currently in deficit, a factor that has supported prices and revived investor interest.
For investors looking at gold and silver over the next 5, 10 or even 20 years, a disciplined and balanced approach is key. Experts recommend allocating at least 10–15% of the portfolio to precious metals as a long-term hedge and diversification tool. With sharp price moves and elevated levels, lump-sum investing may not be ideal. Instead, SIPs in gold and silver ETFs offer a smarter way to average costs over time and manage volatility. Physical gold and silver in the form of bars or coins can also work for those comfortable holding them. However, jewellery is best avoided as an investment due to high making charges and GST. The takeaway: stay systematic, diversified, and patient.
After a blockbuster 2025, metals are firmly back in the spotlight as investors reassess strategies for the year ahead. Gold and silver delivered exceptional returns, while copper joined the rally on supply and demand pressures. As 2026 approaches, the key question is which metal offers the best balance of stability, growth and opportunity.
"Everything that shines is not gold" is a proverb but has turned into rewarding reality in 2025 for the investors who put their money in silver.
Silver is unique because it is the only metal that has an intrinsic value and also a functional demand, says Vedanta's Anil Agarwal
Gold neared $4,500 per ounce and silver shattered $70 records on Tuesday, igniting debate: buy the peak or wait for a cooldown? A weakening dollar, Fed rate cuts, and geopolitical risks propelled gold up 0.9% to $4,486.34 (intraday high $4,497.55), with silver surging 2.2% on 143% YTD gains from supply deficits and industrial demand.





