Here are 5 reasons why gold and silver prices are surging

As of May 5, 2025, gold prices neared ₹93,540 and silver crossed ₹1,170 per 10 grams amid global demand. Here are five factors contributing to this rise in prices

1. Global tensions have led more people to invest in gold and silver for safety, driving their prices to record highs.

2. Central banks, especially in China and other growing markets, are buying gold and silver to diversify their foreign reserves

3. Investors are looking at gold and silver because they expect major central banks to cut interest rates

4. Indian investors are increasing their holdings in gold and silver-backed ETFs and digital assets due to uncertainty in the stock market

5. Even with lower physical demand, investment buying continues to push prices up due to worries about the economy and inflation.