Gold prices in Kerala continued their climb for the fourth straight day, with one gram gaining ₹25 to hit ₹8,770 on April 12. One sovereign (8 grams) is now priced at ₹70,160, breaching the ₹70,000 mark for the first time and surpassing the previous high of ₹69,960 set just a day before.
Since April began, the yellow metal has gained ₹4,360 per sovereign. With major buying occasions like Vishu and Akshaya Tritiya knocking on the door, the timing of this price surge is turning heads—especially among traders and buyers who had been hoping for a dip.
While the market rate for gold is hitting records, the actual price a consumer pays is higher. Including GST and minimal making charges, one sovereign is reportedly being sold at around ₹76,000 in retail stores.
The 18-carat gold rate also moved up ₹20, reaching ₹7,220 per gram. Silver, which held steady for the past two days, rose by ₹2 to touch ₹107 per gram.
Internationally, gold is on fire. On April 11, the global price touched a record $3,245 per ounce, up from $3,176 the day before. Much of this movement is being linked to the ongoing trade spat between the US and China.
After US President Donald Trump increased tariffs on a range of countries, yields on 10-year US Treasury bonds initially saw a slight bump. But that didn’t last long. Investors started selling those bonds, and many turned to gold instead, seen globally as a relatively safer option during uncertain times.
One of the bigger threats looming over the bond market is China’s hinted retaliation. Reports suggest that Beijing might consider offloading up to $760 billion worth of US Treasury bonds—a move that could have wide ripple effects. China, after Japan, holds the second-largest chunk of American debt.
That’s not all. China is also reportedly trimming down on imports of Hollywood films from the US. The move, seen as symbolic but strategic, signals that tensions between the two economic giants are far from cooling off.
With Treasury bond sales rising, the Trump administration has reportedly put a pause on extending tariffs to other countries, choosing to focus squarely on China. Still, there's no telling when the next shocker might land. Markets are watching closely.
Global stock indices have been showing mixed signals, while the dollar has been losing some steam. Both are known to impact gold prices. Essentially, the shakier the market outlook, the shinier gold starts to look.
There’s also a dip in inflation in the US, which could play a part. The Consumer Price Index fell from 2.8% in February to 2.4% in March. Some analysts say this could push the Federal Reserve towards cutting interest rates—a move that often leads to more interest in gold.
Gold has already shot up by more than 38% globally in 2025. Some forecasts hint that prices might hit somewhere between $3,500 and $4,000 an ounce in the coming months—though that depends on how the economic and geopolitical chips fall.
For now, gold in Kerala is not just shining—it’s burning a deeper hole in buyers’ pockets. And unless something major changes, that trend might just stick around a little longer.
