Strong demand, policy shifts, and macro forces reshape gold

Global and Indian gold demand is robust, fueled by safe-haven buying, record ETF inflows in Asia, and rising Indian investment demand that keeps local prices at a premium. In India, gold is increasingly financialized through soaring gold loans, Sovereign Gold Bonds, and mutual funds, prompting fresh RBI and SEBI policy moves on SGB redemptions and gold valuation. At the same time, prices are whipsawed by macro drivers—a stronger US dollar, shifting rate-cut expectations, and geopolitical tension—while big banks like JP Morgan lift long-term price targets, underscoring gold’s growing role in portfolios and credit markets.