Gold Hits Record High After US Tariff Decision, Silver Crosses Rs 1.15 Lakh, Check Latest Rates

Gold prices surged to an all-time high on Friday, following the United States' recent decision to impose tariffs on gold bars. This move triggered a sharp rise in international prices, which was also reflected in the Indian market. Silver prices have also continued to climb, now trading above Rs 1.15 lakh per kilogram.

What Triggered the Price Surge?

According to US media reports, US Customs has placed 1 kg and 100-ounce gold bars into a tariff category that now attracts higher import duties. This decision is expected to have a significant impact on global trade, especially for countries like Switzerland, a major hub for gold refining and exports.

News Agency Reuters reported that the futures-spot spread widened to more than $100 after the Financial Times reported that the United States had imposed tariffs on imports of 1-kg gold bars, citing a July 31 Customs and Border Protection letter. The letter said 1-kg and 100-ounce gold bars should be classified under a customs code subject to higher duties.

US President Donald Trump's higher tariffs on imports from dozens of countries kicked in on Thursday, leaving major trade partners hurriedly searching for a better deal.

Market analysts believe the move could disrupt bank settlements and gold trade flows, pushing investors to seek safety in gold, traditionally viewed as a secure asset. This has led to increased buying in both global and domestic markets.

Gold and Silver Prices in Major Cities

City                    Gold Price (10g)         Silver Price (1kg)

Delhi                  Rs 1,03,420                 Rs 1,15,000
Mumbai             Rs 1,00,942                 Rs 1,14,732
Kolkata              Rs 1,01,910                  Rs 1,14,910
Bengaluru          Rs 1,02,120                  Rs 1,15,150

Why Are Gold Prices Rising?

Several factors are contributing to the gold price surge:

• US tariffs on gold bars
• A weaker US dollar
• Market expectations of a US Federal Reserve interest rate cut
• Growing global demand amid economic uncertainty
• Gold continues to prove itself as a strong safe-haven asset, especially in volatile economic conditions.

20-Year Gold Performance

Gold has delivered a return of over 1,200% in the past 20 years. It has climbed from around Rs 7,638 in 2005 to above Rs 1,02,000 in 2025. In this year alone, it has gained approximately 31%, making it one of the best-performing asset classes of 2025.