Gold Drops Nearly Rs 7,000 From Record High: Is This The Right Time To Enter? – News18

Gold Price Crash: Gold prices crashed almost 5 per cent from the record all-time high of Rs 1 lakh-mark for a 10-gram unit. The drastic drop in prices of the yellow metal came following positive trade talks between the United States and China, leading to a 90-day pause in tariffs, improvement in the macroeconomic situation at the global level and the ceasefire agreement between India and Pakistan to ease border tensions.

Gold prices on Friday came down below the Rs 95k-mark after witnessing an upswing amid the uncertainty. In Mumbai, gold was trading almost Rs 2,000 lower at Rs 94,080 per 10 grams for 24 carats.

On MCX, gold future with an expiry of June 05 was trading at Rs 93,280 per 10 grams.

At the world level, gold prices also experienced a downfall of almost 6 per cent before recovering slightly on Thursday. Gold (GCM5) was trading at $3,224 per ounce. In comparison, it was at its high on April 21, 2025, at $3,425.30 per ounce.

Meanwhile, the silver price also saw a fall to drop as low as Rs 1,000. Silver was trading at Rs 97,900 per kg in Mumbai.

What Should Investors Do At This Moment? Should They Invest More Or Profit-Book Like Others?

Experts are divided in opinion on whether it is the right time to invest or if they should wait for the dust to settle.

Aksha Kamboj, Vice President, India Bullion and Jewellers Association (IBJA) and Executive Chairperson of Aspect Global Ventures, believes the recent Rs 7,000 drop in gold prices from its record high should not deter long-term investors.

Volatility in precious metals is a natural part of the market cycle, often influenced by global economic indicators, central bank policies, and geopolitical events, she adds.

Kamboj recommends that “this correction presents a healthy opportunity for investors to enter or rebalance their portfolios.” She adds, those who have been waiting on the sidelines can now consider systematic buying rather than reacting emotionally to short-term price movements. It is important to look at gold from a long-term perspective — as a store of value, a hedge against inflation, and a safe-haven asset during uncertain times.

Amit Jain, Co-Founder of Ashika Global Family Office Services, has a different opinion on the current situation. He believes that “it may not be the most opportune time to enter gold”, citing the improvement in macro conditions dampening the safe-haven appeal of gold as investors’ sentiments shift toward equities.

He recommends investors would be better served by observing how global dynamics unfold before making fresh allocations.