Kolkata, April 17, 2026: As India ushers in the new financial year with Akshaya Tritiya, gold continues to balance tradition with a complex global backdrop. According to a recent commodities insight report by Motilal Oswal Financial Services, gold prices have risen nearly 10% so far in 2026, even as the journey remains volatile with sharp swings through the first quarter.
The report highlights that gold is currently being driven by multiple global factors, including geopolitical tensions, concerns around slowing economic growth, and uncertainty around interest rate movements in the United States. While these factors are supporting gold’s safe-haven appeal, periods of a stronger dollar and elevated bond yields have created intermittent pressure, resulting in a non-linear price trajectory.
Navneet Damani, Head of Research – Commodities, Motilal Oswal Financial Services, said, “Gold is currently navigating a complex global environment. While there are phases of pressure due to interest rate expectations and currency strength, the broader outlook remains supported by uncertainty, inflation concerns, and long-term investment demand. For Indian investors, gold continues to serve as a reliable store of value, especially during periods of volatility.”
On the demand front, the report points to contrasting trends across key markets. In India, elevated prices have kept jewellery demand subdued and price-sensitive, leading to discounted domestic prices. In contrast, China has witnessed relatively stronger, investment-led demand. The report also notes a gradual shift in India towards financial forms of gold such as ETFs, reflecting evolving investor behaviour.
Citing data from the World Gold Council, the report states that central banks purchased around 860–870 tonnes of gold in 2025, marking continued strong buying, though at a slower pace than previous years. At the same time, global ETF demand has seen a recovery after earlier outflows, with mixed but constructive trends continuing into 2026.
Manav Modi, Analyst Commodities, Motilal Oswal Financial Services, said, “We are seeing a gradual change in how investors participate in gold. While physical buying remains important during occasions like Akshaya Tritiya, there is a clear rise in interest towards more flexible and transparent investment options. This trend is expected to strengthen as investors look for both convenience and liquidity.”
From an investment perspective, the report maintains that gold’s long-term fundamentals remain intact, supported by its role as a hedge against inflation, currency depreciation, and global uncertainty. Historically too, Akshaya Tritiya has been a favourable entry point for investors, with gold delivering consistent long-term returns despite interim corrections.
Commenting on the Outlook Mr. Navneet Damani, Head of Research – Commodities and Manav Modi, Analyst Commodities, Motilal Oswal Financial Services indicates that gold may continue to trade within a broad range in the near term as markets adjust to evolving global cues. While some consolidation is likely after the recent rally, the medium- to long-term outlook remains constructive. Factors such as geopolitical risks, slowing global growth, and the possibility of monetary easing later in the year could support prices, while persistent inflation, a stronger dollar, and weak physical demand may act as near-term headwinds. The report maintains a clear “buy on dips” stance for investors with a medium- to long-term horizon.
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